Deep-pocketed investors have adopted a bullish approach towards Carvana CVNA, 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 CVNA usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 25 extraordinary options activities for Carvana. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 48% leaning bullish and 40% bearish. Among these notable options, 8 are puts, totaling $707,912, and 17 are calls, amounting to $1,171,304.
What's The Price Target?
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $55.0 to $185.0 for Carvana over the last 3 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 Carvana'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 Carvana's whale activity within a strike price range from $55.0 to $185.0 in the last 30 days.
Carvana Option Activity Analysis: Last 30 Days
Significant Options Trades Detected:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| CVNA | PUT | SWEEP | BEARISH | 09/20/24 | $11.75 | $11.7 | $11.75 | $145.00 | $359.5K | 320 | 329 |
| CVNA | CALL | SWEEP | BULLISH | 08/16/24 | $4.25 | $3.9 | $4.25 | $135.00 | $141.5K | 2.7K | 338 |
| CVNA | CALL | SWEEP | BEARISH | 08/16/24 | $2.9 | $2.73 | $2.73 | $145.00 | $127.7K | 2.8K | 2.3K |
| CVNA | CALL | TRADE | BEARISH | 02/21/25 | $90.75 | $88.65 | $88.65 | $55.00 | $106.3K | 0 | 12 |
| CVNA | PUT | SWEEP | BEARISH | 08/16/24 | $1.0 | $0.85 | $1.0 | $133.00 | $98.0K | 529 | 3.1K |
About Carvana
Carvana Co is an e-commerce platform for buying and selling used cars. The company derives revenue from used vehicle sales, wholesale vehicle sales and other sales and revenues. The other sales and revenues include sales of loans originated and sold in securitization transactions or to financing partners, commissions received on VSCs and sales of GAP waiver coverage. The foundation of the business is retail vehicle unit sales. This drives the majority of the revenue and allows the company to capture additional revenue streams associated with financing, VSCs, auto insurance and GAP waiver coverage, as well as trade-in vehicles.
After a thorough review of the options trading surrounding Carvana, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Carvana's Current Market Status
- With a trading volume of 1,881,234, the price of CVNA is up by 5.43%, reaching $140.73.
- Current RSI values indicate that the stock is may be approaching overbought.
- Next earnings report is scheduled for 79 days from now.
Expert Opinions on Carvana
Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $172.6.
- Consistent in their evaluation, an analyst from BTIG keeps a Buy rating on Carvana with a target price of $188.
- An analyst from JMP Securities persists with their Market Outperform rating on Carvana, maintaining a target price of $200.
- Maintaining their stance, an analyst from Needham continues to hold a Buy rating for Carvana, targeting a price of $200.
- An analyst from BTIG downgraded its action to Buy with a price target of $155.
- An analyst from Wedbush downgraded its action to Neutral with a price target of $120.
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 Carvana 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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