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 12 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 33% leaning bullish and 50% bearish. Among these notable options, 5 are puts, totaling $349,966, and 7 are calls, amounting to $616,723.
Predicted Price Range
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $270.0 to $360.0 for Spotify Technology over the last 3 months.
Volume & Open Interest Development
Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Spotify 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 Spotify Technology's significant trades, within a strike price range of $270.0 to $360.0, over the past month.
Spotify Technology 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 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| SPOT | CALL | TRADE | BEARISH | 07/26/24 | $5.55 | $4.95 | $5.1 | $330.00 | $356.9K | 1.0K | 9 |
| SPOT | PUT | SWEEP | BULLISH | 07/26/24 | $5.25 | $4.8 | $4.8 | $270.00 | $125.8K | 1.8K | 20 |
| SPOT | PUT | TRADE | BEARISH | 07/26/24 | $5.0 | $4.75 | $5.0 | $270.00 | $99.0K | 1.8K | 476 |
| SPOT | PUT | SWEEP | BULLISH | 08/16/24 | $19.8 | $19.65 | $19.65 | $300.00 | $60.9K | 2.1K | 12 |
| SPOT | CALL | SWEEP | NEUTRAL | 07/26/24 | $12.95 | $12.5 | $12.73 | $300.00 | $52.3K | 169 | 76 |
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
Where Is Spotify Technology Standing Right Now?
- With a trading volume of 438,788, the price of SPOT is up by 0.75%, reaching $297.3.
- Current RSI values indicate that the stock is may be oversold.
- Next earnings report is scheduled for 1 days from now.
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 $363.0.
- An analyst from UBS persists with their Buy rating on Spotify Technology, maintaining a target price of $400.
- An analyst from Keybanc has decided to maintain their Overweight rating on Spotify Technology, which currently sits at a price target of $410.
- Reflecting concerns, an analyst from Jefferies lowers its rating to Buy with a new price target of $385.
- An analyst from Wolfe Research downgraded its action to Outperform with a price target of $390.
- An analyst from Redburn Atlantic downgraded its action to Sell with a price target of $230.
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 Spotify 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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