Starbucks's Options Frenzy: What You Need to Know

High-rolling investors have positioned themselves bearish on Starbucks SBUX, and it's important for retail traders to take note. \This activity came to our attention today through Benzinga's tracking of publicly available options data. The identities of these investors are uncertain, but such a significant move in SBUX often signals that someone has privileged information.

Today, Benzinga's options scanner spotted 8 options trades for Starbucks. This is not a typical pattern.

The sentiment among these major traders is split, with 37% bullish and 62% bearish. Among all the options we identified, there was one put, amounting to $40,185, and 7 calls, totaling $1,203,549.

Expected Price Movements

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $90.0 to $100.0 for Starbucks over the recent three months.

Analyzing Volume & Open Interest

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Starbucks's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Starbucks's substantial trades, within a strike price spectrum from $90.0 to $100.0 over the preceding 30 days.

Starbucks Option Volume And Open Interest Over Last 30 Days

Largest Options Trades Observed:

About Starbucks

Starbucks is one of the most widely recognized restaurant brands in the world, operating more than 38,000 stores across more than 80 countries as of the end of fiscal 2023. The firm operates in three segments: North America, international markets, and channel development (grocery and ready-to-drink beverage). The coffee chain generates revenue from company-operated stores, royalties, sales of equipment and products to license partners, ready-to-drink beverages, packaged coffee sales, and single-serve products.

Having examined the options trading patterns of Starbucks, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance

Where Is Starbucks Standing Right Now?

• With a trading volume of 2,450,191, the price of SBUX is up by 1.71%, reaching $94.59.
• Current RSI values indicate that the stock is may be approaching overbought.
• Next earnings report is scheduled for 61 days from now.

What Analysts Are Saying About Starbucks

A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $104.4.

• Reflecting concerns, an analyst from RBC Capital lowers its rating to Sector Perform with a new price target of $102.
• An analyst from Barclays persists with their Overweight rating on Starbucks, maintaining a target price of $112.
• Maintaining their stance, an analyst from Citigroup continues to hold a Neutral rating for Starbucks, targeting a price of $103.
• An analyst from Stephens & Co. has revised its rating downward to Equal-Weight, adjusting the price target to $110.
• In a cautious move, an analyst from Wedbush downgraded its rating to Neutral, setting a price target of $95.

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