Looking At General Motors's Recent Unusual Options Activity

Investors with a lot of money to spend have taken a bearish stance on General Motors GM.

And retail traders should know.

We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.

Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with GM, it often means somebody knows something is about to happen.

So how do we know what these investors just did?

Today, Benzinga's options scanner spotted 20 uncommon options trades for General Motors.

This isn't normal.

The overall sentiment of these big-money traders is split between 45% bullish and 55%, bearish.

Out of all of the special options we uncovered, 4 are puts, for a total amount of $405,970, and 16 are calls, for a total amount of $1,173,488.

What's The Price Target?

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $35.0 to $47.0 for General Motors over the recent three months.

Volume & Open Interest Trends

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in General Motors's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to General Motors's substantial trades, within a strike price spectrum from $35.0 to $47.0 over the preceding 30 days.

General Motors 30-Day Option Volume & Interest Snapshot

Largest Options Trades Observed:

About General Motors

General Motors Co. emerged from the bankruptcy of General Motors Corp. (old GM) in July 2009. GM has eight brands and operates under four segments: GM North America, GM International, Cruise, and GM Financial. The United States now has four brands instead of eight under old GM. The company regained its U.S. market share leader crown in 2022, after losing it to Toyota due to the chip shortage in 2021. 2023's share was 16.5%. GM's Cruise autonomous vehicle arm has previously done driverless geofenced AV robotaxi services in San Francisco and other cities but stopped in late 2023 after an accident. It should restart in at least one city in 2024. GM owns over 80% of Cruise. GM Financial became the company's captive finance arm in October 2010 via the purchase of AmeriCredit.

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

General Motors's Current Market Status

• Trading volume stands at 6,207,747, with GM's price up by 0.74%, positioned at $40.81.
• RSI indicators show the stock to be may be approaching overbought.
• Earnings announcement expected in 54 days.

Expert Opinions on General Motors

5 market experts have recently issued ratings for this stock, with a consensus target price of $53.0.

• An analyst from Goldman Sachs persists with their Buy rating on General Motors, maintaining a target price of $50.
• Consistent in their evaluation, an analyst from Tigress Financial keeps a Strong Buy rating on General Motors with a target price of $88.
• Consistent in their evaluation, an analyst from Wedbush keeps a Outperform rating on General Motors with a target price of $45.
• Consistent in their evaluation, an analyst from Wells Fargo keeps a Underweight rating on General Motors with a target price of $28.
• An analyst from RBC Capital persists with their Outperform rating on General Motors, maintaining a target price of $54.

Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for General Motors with Benzinga Pro for real-time alerts.