Investors with a lot of money to spend have taken a bullish stance on Alcoa AA.
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 AA, 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 19 uncommon options trades for Alcoa.
This isn't normal.
The overall sentiment of these big-money traders is split between 57% bullish and 36%, bearish.
Out of all of the special options we uncovered, 2 are puts, for a total amount of $63,375, and 17 are calls, for a total amount of $1,018,352.
What's The Price Target?
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $30.0 to $55.0 for Alcoa during the past quarter.
Volume & Open Interest Trends
Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Alcoa's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Alcoa's significant trades, within a strike price range of $30.0 to $55.0, over the past month.
Alcoa Call and Put Volume: 30-Day Overview
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| AA | CALL | SWEEP | BEARISH | 01/16/26 | $20.15 | $19.0 | $19.0 | $30.00 | $362.9K | 353 | 191 |
| AA | CALL | SWEEP | BEARISH | 06/21/24 | $5.1 | $5.05 | $5.05 | $40.00 | $95.9K | 11.6K | 1.7K |
| AA | CALL | SWEEP | BEARISH | 06/21/24 | $5.1 | $5.05 | $5.05 | $40.00 | $56.0K | 11.6K | 2.8K |
| AA | CALL | SWEEP | BULLISH | 09/20/24 | $3.2 | $3.15 | $3.15 | $50.00 | $53.8K | 847 | 22 |
| AA | CALL | SWEEP | BULLISH | 05/24/24 | $8.55 | $7.35 | $8.5 | $35.00 | $51.8K | 0 | 61 |
About Alcoa
Alcoa Corp is a vertically integrated aluminum company whose operations include bauxite mining, alumina refining, and the manufacture of primary aluminum. It is a bauxite miner and alumina refiner by production volume, and its profits are closely tied to prevailing commodity prices along the aluminum supply chain. The company segments include Bauxite; Alumina and Aluminum. It generates maximum revenue from the Aluminum segment. Geographically, it derives a majority of its revenue from the United States.
Following our analysis of the options activities associated with Alcoa, we pivot to a closer look at the company's own performance.
Where Is Alcoa Standing Right Now?
- With a trading volume of 6,192,991, the price of AA is up by 0.16%, reaching $42.6.
- Current RSI values indicate that the stock is may be overbought.
- Next earnings report is scheduled for 57 days from now.
What Analysts Are Saying About Alcoa
Over the past month, 1 industry analysts have shared their insights on this stock, proposing an average target price of $36.5.
- In a positive move, an analyst from Morgan Stanley has upgraded their rating to Equal-Weight and adjusted the price target to $36.
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 Alcoa with Benzinga Pro for real-time alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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