Decoding Netflix's Options Activity: What's the Big Picture?

Whales with a lot of money to spend have taken a noticeably bearish stance on Netflix.

Looking at options history for Netflix NFLX we detected 27 trades.

If we consider the specifics of each trade, it is accurate to state that 29% of the investors opened trades with bullish expectations and 70% with bearish.

From the overall spotted trades, 6 are puts, for a total amount of $224,413 and 21, calls, for a total amount of $1,159,175.

Expected Price Movements

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $300.0 to $850.0 for Netflix over the recent three months.

Insights into Volume & Open Interest

Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Netflix's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Netflix's significant trades, within a strike price range of $300.0 to $850.0, over the past month.

Netflix Call and Put Volume: 30-Day Overview

Significant Options Trades Detected:

About Netflix

Netflix's relatively simple business model involves only one business, its streaming service. It has the biggest television entertainment subscriber base in both the United States and the collective international market, with almost 250 million subscribers globally. Netflix has exposure to nearly the entire global population outside of China. The firm has traditionally avoided live programming or sports content, instead focusing on on-demand access to episodic television, movies, and documentaries. The firm recently began introducing ad-supported subscription plans, giving the firm exposure to the advertising market in addition to the subscription fees that have historically accounted for nearly all its revenue.

Following our analysis of the options activities associated with Netflix, we pivot to a closer look at the company's own performance.

Netflix's Current Market Status

• Trading volume stands at 1,309,536, with NFLX's price up by 0.38%, positioned at $564.17.
• RSI indicators show the stock to be may be overbought.
• Earnings announcement expected in 70 days.

Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.

If you want to stay updated on the latest options trades for Netflix, Benzinga Pro gives you real-time options trades alerts.