High-rolling investors have positioned themselves bullish on Advance Auto Parts AAP, 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 AAP often signals that someone has privileged information.
Today, Benzinga's options scanner spotted 18 options trades for Advance Auto Parts. This is not a typical pattern.
The sentiment among these major traders is split, with 55% bullish and 44% bearish. Among all the options we identified, there was one put, amounting to $1,407,268, and 17 calls, totaling $1,320,962.
Projected Price Targets
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $57.5 to $130.0 for Advance Auto Parts during the past quarter.
Volume & Open Interest Trends
In today's trading context, the average open interest for options of Advance Auto Parts stands at 428.89, with a total volume reaching 8,430.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Advance Auto Parts, situated within the strike price corridor from $57.5 to $130.0, throughout the last 30 days.
Advance Auto Parts Option Activity Analysis: Last 30 Days
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| AAP | PUT | TRADE | BEARISH | 04/19/24 | $85.00 | $1.4M | 251 | 5.9K |
| AAP | CALL | TRADE | BULLISH | 03/28/24 | $80.00 | $325.0K | 518 | 2 |
| AAP | CALL | TRADE | BEARISH | 01/17/25 | $57.50 | $121.8K | 133 | 0 |
| AAP | CALL | SWEEP | BULLISH | 05/17/24 | $85.00 | $107.9K | 186 | 474 |
| AAP | CALL | TRADE | BEARISH | 01/17/25 | $75.00 | $107.2K | 954 | 0 |
About Advance Auto Parts
Advance Auto Parts is one of the industry's retailers of aftermarket automotive parts, tools, and accessories to do-it-yourself customers and third-party vehicle repair facilities in North America. Advance operated 5,086 stores as of the end of 2022, in addition to servicing 1,311 independently owned Carquest stores. The company's Worldpac chain is a distributor of imported original equipment parts.
After a thorough review of the options trading surrounding Advance Auto Parts, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Current Position of Advance Auto Parts
- With a trading volume of 1,069,670, the price of AAP is up by 3.07%, reaching $87.44.
- Current RSI values indicate that the stock is may be overbought.
- Next earnings report is scheduled for 69 days from now.
What Analysts Are Saying About Advance Auto Parts
In the last month, 5 experts released ratings on this stock with an average target price of $68.0.
- An analyst from Truist Securities has decided to maintain their Hold rating on Advance Auto Parts, which currently sits at a price target of $60.
- Maintaining their stance, an analyst from Barclays continues to hold a Equal-Weight rating for Advance Auto Parts, targeting a price of $66.
- Maintaining their stance, an analyst from RBC Capital continues to hold a Sector Perform rating for Advance Auto Parts, targeting a price of $68.
- In a cautious move, an analyst from Mizuho downgraded its rating to Neutral, setting a price target of $78.
- An analyst from JP Morgan persists with their Neutral rating on Advance Auto Parts, maintaining a target price of $68.
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 Advance Auto Parts, Benzinga Pro gives you real-time options trades alerts.
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