Deep-pocketed investors have adopted a bearish approach towards Spotify Technology SPOT, 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 SPOT usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 11 extraordinary options activities for Spotify Technology. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 27% leaning bullish and 54% bearish. Among these notable options, 9 are puts, totaling $392,030, and 2 are calls, amounting to $104,825.
Expected Price Movements
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $270.0 to $310.0 for Spotify Technology during the past quarter.
Insights into Volume & Open Interest
Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for Spotify Technology's options for a given strike price. Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Spotify Technology's whale trades within a strike price range from $270.0 to $310.0 in the last 30 days.
Spotify Technology Option Volume And Open Interest Over Last 30 Days
Largest Options Trades Observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| SPOT | PUT | TRADE | BEARISH | 10/18/24 | $16.3 | $16.15 | $16.3 | $280.00 | $81.5K | 240 | 1 |
| SPOT | CALL | SWEEP | BEARISH | 08/16/24 | $12.95 | $12.65 | $12.9 | $310.00 | $64.5K | 326 | 7 |
| SPOT | PUT | SWEEP | BEARISH | 09/20/24 | $13.8 | $13.75 | $13.8 | $280.00 | $57.9K | 173 | 0 |
| SPOT | PUT | SWEEP | BEARISH | 10/18/24 | $25.1 | $25.05 | $25.1 | $300.00 | $50.2K | 721 | 0 |
| SPOT | PUT | SWEEP | BULLISH | 08/16/24 | $20.3 | $20.1 | $20.1 | $300.00 | $44.2K | 2.1K | 15 |
About Spotify Technology
Spotify, headquartered in Stockholm, Sweden, is one of the world's largest music streaming service providers, with 602 million monthly active users at the end of 2023. The firm monetizes its users through a paid subscription model, referred to as its premium service, and an ad-based model, referred to as its ad-supported service. Revenue from premium and ad-supported services represented 86% and 14% of Spotify's 2023 total revenue, respectively.
Having examined the options trading patterns of Spotify Technology, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance
Present Market Standing of Spotify Technology
- Trading volume stands at 215,052, with SPOT's price up by 0.23%, positioned at $295.41.
- RSI indicators show the stock to be is currently neutral between overbought and oversold.
- Earnings announcement expected in 5 days.
What Analysts Are Saying About Spotify Technology
A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $359.0.
- An analyst from Wolfe Research downgraded its action to Outperform with a price target of $390.
- An analyst from Keybanc persists with their Overweight rating on Spotify Technology, maintaining a target price of $410.
- Reflecting concerns, an analyst from Jefferies lowers its rating to Buy with a new price target of $385.
- An analyst from B of A Securities persists with their Buy rating on Spotify Technology, maintaining a target price of $380.
- An analyst from Redburn Atlantic downgraded its action to Sell with a price target of $230.
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 Spotify Technology with Benzinga Pro for real-time alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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