Investors with a lot of money to spend have taken a bullish stance on Reddit RDDT.
And retail traders should know.
We noticed this today when the positions 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 RDDT, it often means somebody knows something is about to happen.
Today, Benzinga's options scanner spotted 9 options trades for Reddit.
This isn't normal.
The overall sentiment of these big-money traders is split between 55% bullish and 44%, bearish.
Out of all of the options we uncovered, there was 1 put, for a total amount of $28,388, and 8, calls, for a total amount of $494,314.
Expected Price Movements
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $30.0 to $85.0 for Reddit over the recent three months.
Volume & Open Interest Development
Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.
This data can help you track the liquidity and interest for Reddit'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 Reddit's whale activity within a strike price range from $30.0 to $85.0 in the last 30 days.
Reddit 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 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| RDDT | CALL | TRADE | BEARISH | 01/17/25 | $10.4 | $8.55 | $8.54 | $85.00 | $170.7K | 332 | 200 |
| RDDT | CALL | TRADE | BULLISH | 08/09/24 | $14.75 | $14.25 | $14.75 | $50.00 | $73.7K | 112 | 50 |
| RDDT | CALL | SWEEP | BEARISH | 09/20/24 | $3.85 | $3.6 | $3.6 | $82.50 | $72.0K | 236 | 200 |
| RDDT | CALL | TRADE | BEARISH | 09/20/24 | $6.75 | $6.7 | $6.7 | $70.00 | $45.5K | 380 | 288 |
| RDDT | CALL | SWEEP | BULLISH | 08/09/24 | $3.7 | $3.25 | $3.7 | $75.00 | $37.0K | 201 | 102 |
About Reddit
Reddit Inc is engaged in providing internet content. The company provides online services that include gaming, sports, business, crypto, television and others.
After a thorough review of the options trading surrounding Reddit, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Present Market Standing of Reddit
- Currently trading with a volume of 1,522,674, the RDDT's price is up by 4.42%, now at $63.54.
- RSI readings suggest the stock is currently may be approaching oversold.
- Anticipated earnings release is in 5 days.
Professional Analyst Ratings for Reddit
In the last month, 5 experts released ratings on this stock with an average target price of $66.4.
- Consistent in their evaluation, an analyst from Morgan Stanley keeps a Equal-Weight rating on Reddit with a target price of $70.
- An analyst from Loop Capital persists with their Buy rating on Reddit, maintaining a target price of $75.
- An analyst from JP Morgan persists with their Neutral rating on Reddit, maintaining a target price of $67.
- Maintaining their stance, an analyst from Bernstein continues to hold a Underperform rating for Reddit, targeting a price of $50.
- Maintaining their stance, an analyst from Raymond James continues to hold a Strong Buy rating for Reddit, targeting a price of $70.
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 Reddit, 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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Date of Trade | ticker | Put/Call | Strike Price | DTE | Sentiment |
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