Deep-pocketed investors have adopted a bearish approach towards MercadoLibre MELI, 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 MELI usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 18 extraordinary options activities for MercadoLibre. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 16% leaning bullish and 33% bearish. Among these notable options, 8 are puts, totaling $331,390, and 10 are calls, amounting to $484,979.
Predicted Price Range
After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $1320.0 and $2200.0 for MercadoLibre, spanning the last three months.
Volume & Open Interest Development
In today's trading context, the average open interest for options of MercadoLibre stands at 45.2, with a total volume reaching 52.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in MercadoLibre, situated within the strike price corridor from $1320.0 to $2200.0, throughout the last 30 days.
MercadoLibre 30-Day Option Volume & Interest Snapshot
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| MELI | CALL | SWEEP | BULLISH | 08/16/24 | $159.5 | $153.0 | $153.0 | $1750.00 | $76.5K | 115 | 5 |
| MELI | PUT | TRADE | NEUTRAL | 06/20/25 | $169.0 | $156.4 | $163.0 | $1760.00 | $65.2K | 5 | 4 |
| MELI | CALL | TRADE | NEUTRAL | 12/20/24 | $128.3 | $119.4 | $123.9 | $2000.00 | $61.9K | 59 | 5 |
| MELI | CALL | TRADE | NEUTRAL | 12/20/24 | $617.8 | $604.8 | $610.19 | $1320.00 | $61.0K | 3 | 1 |
| MELI | PUT | SWEEP | NEUTRAL | 08/23/24 | $113.1 | $101.4 | $108.16 | $2000.00 | $53.9K | 0 | 5 |
About MercadoLibre
MercadoLibre runs the largest e-commerce marketplace in Latin America, with more than 218 million active users and 1 million active sellers across 18 countries stitching into its commerce network or fintech solutions as of the end of 2023. The company operates a host of complementary businesses to its core online shop, with shipping solutions (Mercado Envios), a payment and financing operation (Mercado Pago and Mercado Credito), advertisements (Mercado Clics), classifieds, and a turnkey e-commerce solution (Mercado Shops) rounding out its arsenal. MercadoLibre generates revenue from final value fees, advertising royalties, payment processing, insertion fees, subscription fees, and interest income from consumer and small-business lending.
MercadoLibre's Current Market Status
- Trading volume stands at 165,144, with MELI's price down by -1.23%, positioned at $1892.72.
- RSI indicators show the stock to be may be approaching overbought.
- Earnings announcement expected in 77 days.
Professional Analyst Ratings for MercadoLibre
In the last month, 4 experts released ratings on this stock with an average target price of $2251.25.
- Maintaining their stance, an analyst from JP Morgan continues to hold a Overweight rating for MercadoLibre, targeting a price of $2400.
- Consistent in their evaluation, an analyst from Goldman Sachs keeps a Buy rating on MercadoLibre with a target price of $2480.
- An analyst from BTIG has decided to maintain their Buy rating on MercadoLibre, which currently sits at a price target of $2025.
- An analyst from Barclays persists with their Overweight rating on MercadoLibre, maintaining a target price of $2100.
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 MercadoLibre with Benzinga Pro for real-time alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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