Spotlight on Verizon Communications: Analyzing the Surge in Options Activity

Deep-pocketed investors have adopted a bearish approach towards Verizon Communications VZ, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in VZ usually suggests something big is about to happen.

We gleaned this information from our observations today when Benzinga's options scanner highlighted 11 extraordinary options activities for Verizon Communications. This level of activity is out of the ordinary.

The general mood among these heavyweight investors is divided, with 45% leaning bullish and 54% bearish. Among these notable options, 2 are puts, totaling $55,263, and 9 are calls, amounting to $368,792.

What's The Price Target?

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $30.0 and $42.0 for Verizon Communications, spanning the last three months.

Analyzing Volume & Open Interest

Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for Verizon Communications's options for a given strike price. Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Verizon Communications's whale trades within a strike price range from $30.0 to $42.0 in the last 30 days.

Verizon Communications Option Activity Analysis: Last 30 Days

Largest Options Trades Observed:

About Verizon Communications

Wireless services account for about 70% of Verizon Communications' total service revenue and nearly all of its operating income. The firm serves about 93 million postpaid and 21 million prepaid phone customers (following the acquisition of Tracfone) via its nationwide network, making it the largest U.S. wireless carrier. Fixed-line telecom operations include local networks in the Northeast, which reach about 25 million homes and businesses and serve about 8 million broadband customers. Verizon also provides telecom services nationwide to enterprise customers, often using a mixture of its own and other carriers' networks.

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

Present Market Standing of Verizon Communications

• Currently trading with a volume of 12,081,720, the VZ's price is down by -0.2%, now at $40.34.
• RSI readings suggest the stock is currently may be approaching overbought.
• Anticipated earnings release is in 75 days.

What The Experts Say On Verizon Communications

5 market experts have recently issued ratings for this stock, with a consensus target price of $46.0.

• An analyst from Tigress Financial persists with their Buy rating on Verizon Communications, maintaining a target price of $50.
• An analyst from Barclays has revised its rating downward to Equal-Weight, adjusting the price target to $44.
• Maintaining their stance, an analyst from UBS continues to hold a Neutral rating for Verizon Communications, targeting a price of $43.
• An analyst from Keybanc persists with their Overweight rating on Verizon Communications, maintaining a target price of $46.
• Showing optimism, an analyst from Daiwa Capital upgrades its rating to Outperform with a revised price target of $47.

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 Verizon Communications, Benzinga Pro gives you real-time options trades alerts.