Investors with a lot of money to spend have taken a bearish stance on Alibaba Gr Hldgs BABA.
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 BABA, 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 11 uncommon options trades for Alibaba Gr Hldgs.
This isn't normal.
The overall sentiment of these big-money traders is split between 45% bullish and 54%, bearish.
Out of all of the special options we uncovered, 3 are puts, for a total amount of $472,040, and 8 are calls, for a total amount of $581,534.
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 $50.0 to $100.0 for Alibaba Gr Hldgs during the past quarter.
Volume & Open Interest Development
In today's trading context, the average open interest for options of Alibaba Gr Hldgs stands at 8352.5, with a total volume reaching 933.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Alibaba Gr Hldgs, situated within the strike price corridor from $50.0 to $100.0, throughout the last 30 days.
Alibaba Gr Hldgs Option Activity Analysis: Last 30 Days
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| BABA | CALL | SWEEP | BULLISH | 07/19/24 | $1.1 | $1.07 | $1.08 | $80.00 | $236.3K | 30.3K | 82 |
| BABA | PUT | SWEEP | BEARISH | 01/17/25 | $26.65 | $26.6 | $26.6 | $100.00 | $208.0K | 3.2K | 112 |
| BABA | PUT | SWEEP | BEARISH | 01/17/25 | $26.55 | $26.0 | $26.0 | $100.00 | $208.0K | 3.2K | 0 |
| BABA | CALL | SWEEP | BULLISH | 01/17/25 | $4.9 | $4.75 | $4.9 | $85.00 | $88.2K | 18.8K | 71 |
| BABA | CALL | TRADE | BEARISH | 01/16/26 | $31.1 | $29.75 | $29.75 | $50.00 | $59.5K | 2.0K | 0 |
About Alibaba Gr Hldgs
Alibaba is the world's largest online and mobile commerce company as measured by gross merchandise volume. It operates China's online marketplaces, including Taobao (consumer-to-consumer) and Tmall (business-to-consumer). The China commerce retail division is the most valuable cash flow-generating business at Alibaba. Additional revenue sources include China commerce wholesale, international commerce retail/wholesale, local consumer services, cloud computing, digital media and entertainment platforms, Cainiao logistics services, and innovation initiatives/other.
Current Position of Alibaba Gr Hldgs
- Currently trading with a volume of 3,416,174, the BABA's price is down by -2.32%, now at $73.92.
- RSI readings suggest the stock is currently may be oversold.
- Anticipated earnings release is in 55 days.
What The Experts Say On Alibaba Gr Hldgs
Over the past month, 3 industry analysts have shared their insights on this stock, proposing an average target price of $108.33333333333333.
- An analyst from Loop Capital has decided to maintain their Buy rating on Alibaba Gr Hldgs, which currently sits at a price target of $115.
- An analyst from B of A Securities persists with their Buy rating on Alibaba Gr Hldgs, maintaining a target price of $103.
- Maintaining their stance, an analyst from Barclays continues to hold a Overweight rating for Alibaba Gr Hldgs, targeting a price of $107.
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 Alibaba Gr Hldgs, Benzinga Pro gives you real-time options trades alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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