Humana Unusual Options Activity For May 06

Investors with a lot of money to spend have taken a bullish stance on Humana HUM.

And retail traders should know.

We noticed this today when the positions 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 HUM, it often means somebody knows something is about to happen.

Today, Benzinga's options scanner spotted 9 options trades for Humana.

This isn't normal.

The overall sentiment of these big-money traders is split between 44% bullish and 44%, bearish.

Out of all of the options we uncovered, there was 1 put, for a total amount of $173,800, and 8, calls, for a total amount of $455,220.

Expected Price Movements

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $320.0 and $400.0 for Humana, spanning the last three months.

Analyzing Volume & Open Interest

In today's trading context, the average open interest for options of Humana stands at 623.88, with a total volume reaching 814.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Humana, situated within the strike price corridor from $320.0 to $400.0, throughout the last 30 days.

Humana 30-Day Option Volume & Interest Snapshot

Significant Options Trades Detected:

About Humana

Humana is one of the largest private health insurers in the us with a focus on administering Medicare Advantage plans. The firm has built a niche specializing in government-sponsored programs, with nearly all its medical membership stemming from individual and group Medicare Advantage, Medicaid, and the military's Tricare program. The firm is also a leader in stand-alone prescription drug plans for seniors enrolled in traditional fee-for-service Medicare. Beyond medical insurance, the company provides other healthcare services, including primary-care services, at-home services, and pharmacy benefit management.

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

Present Market Standing of Humana

• With a trading volume of 1,406,323, the price of HUM is down by -0.41%, reaching $319.23.
• Current RSI values indicate that the stock is may be approaching overbought.
• Next earnings report is scheduled for 86 days from now.

Professional Analyst Ratings for Humana

In the last month, 5 experts released ratings on this stock with an average target price of $362.8.

• An analyst from Oppenheimer has decided to maintain their Outperform rating on Humana, which currently sits at a price target of $370.
• Consistent in their evaluation, an analyst from RBC Capital keeps a Outperform rating on Humana with a target price of $353.
• An analyst from Wells Fargo has decided to maintain their Overweight rating on Humana, which currently sits at a price target of $350.
• An analyst from Cantor Fitzgerald persists with their Neutral rating on Humana, maintaining a target price of $360.
• An analyst from Jefferies has decided to maintain their Buy rating on Humana, which currently sits at a price target of $381.

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 Humana with Benzinga Pro for real-time alerts.