PDD Holdings's Options Frenzy: What You Need to Know

Investors with a lot of money to spend have taken a bullish stance on PDD Holdings PDD.

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 PDD, 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 29 uncommon options trades for PDD Holdings.

This isn't normal.

The overall sentiment of these big-money traders is split between 72% bullish and 27%, bearish.

Out of all of the special options we uncovered, 5 are puts, for a total amount of $536,400, and 24 are calls, for a total amount of $2,193,503.

Predicted Price Range

Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $80.0 to $135.0 for PDD Holdings over the last 3 months.

Volume & Open Interest Development

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

This data can help you track the liquidity and interest for PDD Holdings's options for a given strike price.

Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of PDD Holdings's whale activity within a strike price range from $80.0 to $135.0 in the last 30 days.

PDD Holdings Option Activity Analysis: Last 30 Days

Noteworthy Options Activity:

About PDD Holdings

PDD Holdings is a multinational commerce group that owns and operates a portfolio of businesses. PDD aims to bring more businesses and people into the digital economy so that local communities and small businesses can benefit from the increased productivity and new opportunities. PDD has built a network of sourcing, logistics, and fulfillment capabilities that support its underlying businesses.

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

Current Position of PDD Holdings

• With a volume of 1,986,053, the price of PDD is down -2.65% at $110.69.
• RSI indicators hint that the underlying stock may be oversold.
• Next earnings are expected to be released in 35 days.

Expert Opinions on PDD Holdings

Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $186.8.

• Maintaining their stance, an analyst from Jefferies continues to hold a Buy rating for PDD Holdings, targeting a price of $161.
• An analyst from Benchmark persists with their Buy rating on PDD Holdings, maintaining a target price of $220.
• Consistent in their evaluation, an analyst from JP Morgan keeps a Overweight rating on PDD Holdings with a target price of $190.
• An analyst from Citigroup has decided to maintain their Buy rating on PDD Holdings, which currently sits at a price target of $185.
• Consistent in their evaluation, an analyst from Barclays keeps a Overweight rating on PDD Holdings with a target price of $178.

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