Deep-pocketed investors have adopted a bullish approach towards Cloudflare NET, 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 NET usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 8 extraordinary options activities for Cloudflare. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 50% leaning bullish and 50% bearish. Among these notable options, 3 are puts, totaling $109,029, and 5 are calls, amounting to $179,640.
Expected Price Movements
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $75.0 to $105.0 for Cloudflare during the past quarter.
Volume & Open Interest Development
Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.
This data can help you track the liquidity and interest for Cloudflare'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 Cloudflare's whale activity within a strike price range from $75.0 to $105.0 in the last 30 days.
Cloudflare Option Volume And Open Interest Over Last 30 Days
Largest Options Trades Observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| NET | CALL | SWEEP | BULLISH | 05/17/24 | $105.00 | $50.9K | 347 | 80 |
| NET | PUT | SWEEP | NEUTRAL | 04/19/24 | $90.00 | $48.5K | 1.2K | 343 |
| NET | CALL | TRADE | BEARISH | 09/20/24 | $90.00 | $45.3K | 87 | 20 |
| NET | PUT | SWEEP | BULLISH | 04/19/24 | $90.00 | $35.2K | 1.2K | 699 |
| NET | CALL | TRADE | BULLISH | 04/19/24 | $90.00 | $28.4K | 329 | 22 |
About Cloudflare
Cloudflare is a software company based in San Francisco, California, that offers security and web performance offerings by utilizing a distributed, serverless content delivery network, or CDN. The firm's edge computing platform, Workers, leverages this network by providing clients the ability to deploy, and execute code without maintaining servers.
After a thorough review of the options trading surrounding Cloudflare, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Cloudflare's Current Market Status
- With a trading volume of 2,394,690, the price of NET is up by 0.12%, reaching $104.5.
- Current RSI values indicate that the stock is may be approaching overbought.
- Next earnings report is scheduled for 70 days from now.
What Analysts Are Saying About Cloudflare
A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $109.6.
- An analyst from Wells Fargo persists with their Overweight rating on Cloudflare, maintaining a target price of $125.
- Maintaining their stance, an analyst from Needham continues to hold a Buy rating for Cloudflare, targeting a price of $135.
- An analyst from JMP Securities has decided to maintain their Market Outperform rating on Cloudflare, which currently sits at a price target of $90.
- Maintaining their stance, an analyst from RBC Capital continues to hold a Outperform rating for Cloudflare, targeting a price of $108.
- An analyst from JP Morgan has decided to maintain their Neutral rating on Cloudflare, which currently sits at a price target of $90.
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 Cloudflare, Benzinga Pro gives you real-time options trades alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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