Costco Wholesale's Options: A Look at What the Big Money is Thinking

Financial giants have made a conspicuous bearish move on Costco Wholesale. Our analysis of options history for Costco Wholesale COST revealed 82 unusual trades.

Delving into the details, we found 43% of traders were bullish, while 56% showed bearish tendencies. Out of all the trades we spotted, 18 were puts, with a value of $861,108, and 64 were calls, valued at $3,344,082.

Predicted Price Range

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $340.0 to $985.0 for Costco Wholesale over the recent three months.

Insights into Volume & Open Interest

In terms of liquidity and interest, the mean open interest for Costco Wholesale options trades today is 358.4 with a total volume of 17,772.00.

In the following chart, we are able to follow the development of volume and open interest of call and put options for Costco Wholesale's big money trades within a strike price range of $340.0 to $985.0 over the last 30 days.

Costco Wholesale Call and Put Volume: 30-Day Overview

Noteworthy Options Activity:

About Costco Wholesale

Costco operates a membership-based, no-frills retail model, predicated on offering a select product assortment in bulk quantities at bargain prices. The firm avoids maintaining costly product displays by keeping inventory on pallets and limits distribution expenses by storing its inventory at point of sale in the warehouse. Given Costco's frugal cost structure, the firm is able to price its merchandise below competing retailers, driving high sales volume per warehouse and allowing the retailer to generate strong profits on thin margins. Costco operates nearly 600 warehouses in the United States and boasts over 60% market share in the domestic warehouse club industry. Internationally, Costco operates another 270 warehouses, primarily in markets such as Canada, Mexico, Japan, and the U.K.

After a thorough review of the options trading surrounding Costco Wholesale, we move to examine the company in more detail. This includes an assessment of its current market status and performance.

Present Market Standing of Costco Wholesale

• With a volume of 2,508,361, the price of COST is up 0.37% at $716.7.
• RSI indicators hint that the underlying stock may be approaching overbought.
• Next earnings are expected to be released in 72 days.

Expert Opinions on Costco Wholesale

5 market experts have recently issued ratings for this stock, with a consensus target price of $782.0.

• An analyst from Stifel has decided to maintain their Buy rating on Costco Wholesale, which currently sits at a price target of $800.
• An analyst from Evercore ISI Group has decided to maintain their Outperform rating on Costco Wholesale, which currently sits at a price target of $815.
• An analyst from Truist Securities has decided to maintain their Buy rating on Costco Wholesale, which currently sits at a price target of $815.
• Maintaining their stance, an analyst from DA Davidson continues to hold a Neutral rating for Costco Wholesale, targeting a price of $680.
• An analyst from BMO Capital has decided to maintain their Outperform rating on Costco Wholesale, which currently sits at a price target of $800.

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 Costco Wholesale with Benzinga Pro for real-time alerts.