Looking At Netflix's Recent Unusual Options Activity

Investors with a lot of money to spend have taken a bullish stance on Netflix NFLX.

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 NFLX, 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 49 uncommon options trades for Netflix.

This isn't normal.

The overall sentiment of these big-money traders is split between 22% bullish and 18%, bearish.

Out of all of the special options we uncovered, 10 are puts, for a total amount of $724,376, and 39 are calls, for a total amount of $2,988,848.

Projected Price Targets

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $30.0 to $700.0 for Netflix over the recent three months.

Volume & Open Interest Development

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Netflix's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Netflix's substantial trades, within a strike price spectrum from $30.0 to $700.0 over the preceding 30 days.

Netflix Option Volume And Open Interest Over Last 30 Days

Largest Options Trades Observed:

About Netflix

Netflix's relatively simple business model involves only one business, its streaming service. It has the biggest television entertainment subscriber base in both the United States and the collective international market, with almost 250 million subscribers globally. Netflix has exposure to nearly the entire global population outside of China. The firm has traditionally avoided live programming or sports content, instead focusing on on-demand access to episodic television, movies, and documentaries. The firm recently began introducing ad-supported subscription plans, giving the firm exposure to the advertising market in addition to the subscription fees that have historically accounted for nearly all its revenue.

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

Netflix's Current Market Status

• Trading volume stands at 1,877,935, with NFLX's price up by 1.45%, positioned at $619.38.
• RSI indicators show the stock to be may be overbought.
• Earnings announcement expected in 61 days.

What The Experts Say On Netflix

A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $624.8.

• Maintaining their stance, an analyst from Rosenblatt continues to hold a Neutral rating for Netflix, targeting a price of $540.
• An analyst from Evercore ISI Group has decided to maintain their Outperform rating on Netflix, which currently sits at a price target of $650.
• Maintaining their stance, an analyst from Oppenheimer continues to hold a Outperform rating for Netflix, targeting a price of $725.
• An analyst from Rosenblatt persists with their Neutral rating on Netflix, maintaining a target price of $554.
• In a cautious move, an analyst from Jefferies downgraded its rating to Buy, setting a price target of $655.

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 Netflix options trades with real-time alerts from Benzinga Pro.