Deep-pocketed investors have adopted a bearish approach towards Microchip Technology MCHP, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in MCHP usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 28 extraordinary options activities for Microchip Technology. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 7% leaning bullish and 32% bearish. Among these notable options, 9 are puts, totaling $401,047, and 19 are calls, amounting to $1,022,476.
Projected Price Targets
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $92.5 to $100.0 for Microchip Technology over the recent three months.
Insights into Volume & Open Interest
Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Microchip Technology's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Microchip Technology's significant trades, within a strike price range of $92.5 to $100.0, over the past month.
Microchip Technology Call and Put Volume: 30-Day Overview
Largest Options Trades Observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| MCHP | CALL | SWEEP | NEUTRAL | 10/18/24 | $6.3 | $6.0 | $6.18 | $95.00 | $108.5K | 4.7K | 4.3K |
| MCHP | CALL | SWEEP | NEUTRAL | 10/18/24 | $7.3 | $6.9 | $7.1 | $95.00 | $71.1K | 4.7K | 284 |
| MCHP | CALL | SWEEP | BEARISH | 10/18/24 | $4.2 | $4.0 | $4.06 | $100.00 | $71.0K | 2.9K | 4.3K |
| MCHP | CALL | SWEEP | NEUTRAL | 10/18/24 | $7.2 | $6.9 | $7.06 | $95.00 | $70.6K | 4.7K | 1.3K |
| MCHP | CALL | SWEEP | NEUTRAL | 10/18/24 | $7.1 | $6.8 | $6.91 | $95.00 | $69.2K | 4.7K | 1.9K |
About Microchip Technology
Microchip Technology became an independent company in 1989 when it was spun off from General Instrument. More than half of revenue comes from MCUs, which are used in a wide array of electronic devices from remote controls to garage door openers to power windows in autos. The company's strength lies in lower-end 8-bit MCUs that are suitable for a wider range of less technologically advanced devices, but the firm has expanded its presence in higher-end MCUs and analog chips as well.
Present Market Standing of Microchip Technology
- Currently trading with a volume of 4,782,840, the MCHP's price is down by -0.72%, now at $94.13.
- RSI readings suggest the stock is currently may be approaching overbought.
- Anticipated earnings release is in 15 days.
Expert Opinions on Microchip Technology
Over the past month, 2 industry analysts have shared their insights on this stock, proposing an average target price of $107.5.
- Maintaining their stance, an analyst from Susquehanna continues to hold a Positive rating for Microchip Technology, targeting a price of $115.
- An analyst from Morgan Stanley has revised its rating downward to Equal-Weight, adjusting the price target to $100.
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 Microchip Technology options trades with real-time alerts from Benzinga Pro.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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