Spotlight on Broadcom: Analyzing the Surge in Options Activity

Whales with a lot of money to spend have taken a noticeably bearish stance on Broadcom.

Looking at options history for Broadcom AVGO we detected 24 trades.

If we consider the specifics of each trade, it is accurate to state that 33% of the investors opened trades with bullish expectations and 66% with bearish.

From the overall spotted trades, 2 are puts, for a total amount of $103,715 and 22, calls, for a total amount of $1,578,619.

What's The Price Target?

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $1000.0 and $1500.0 for Broadcom, spanning the last three months.

Volume & Open Interest Development

In today's trading context, the average open interest for options of Broadcom stands at 348.95, with a total volume reaching 617.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Broadcom, situated within the strike price corridor from $1000.0 to $1500.0, throughout the last 30 days.

Broadcom 30-Day Option Volume & Interest Snapshot

Significant Options Trades Detected:

About Broadcom

Broadcom is the sixth-largest semiconductor company globally and has expanded into various software businesses, with over $30 billion in annual revenue. It sells 17 core semiconductor product lines across wireless, networking, broadband, storage, and industrial markets. It is primarily a fabless designer but holds some manufacturing in-house, like for its best-of-breed FBAR filters that sell into the Apple iPhone. In software, it sells virtualization, infrastructure, and security software to large enterprises, financial institutions, and governments.Broadcom is the product of consolidation. Its businesses are an amalgamation of former companies like legacy Broadcom and Avago Technologies in chips, as well as Brocade, CA Technologies, and Symantec in software.

In light of the recent options history for Broadcom, it's now appropriate to focus on the company itself. We aim to explore its current performance.

Current Position of Broadcom

• With a trading volume of 346,256, the price of AVGO is up by 0.24%, reaching $1351.24.
• Current RSI values indicate that the stock is may be approaching overbought.
• Next earnings report is scheduled for 69 days from now.

What The Experts Say On Broadcom

In the last month, 5 experts released ratings on this stock with an average target price of $1584.0.

• An analyst from Mizuho persists with their Buy rating on Broadcom, maintaining a target price of $1550.
• An analyst from Citigroup has decided to maintain their Buy rating on Broadcom, which currently sits at a price target of $1560.
• An analyst from Cantor Fitzgerald has revised its rating downward to Overweight, adjusting the price target to $1600.
• An analyst from UBS persists with their Buy rating on Broadcom, maintaining a target price of $1610.
• Consistent in their evaluation, an analyst from Cantor Fitzgerald keeps a Overweight rating on Broadcom with a target price of $1600.

Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Broadcom options trades with real-time alerts from Benzinga Pro.