Investors with a lot of money to spend have taken a bullish stance on MercadoLibre MELI.
And retail traders should know.
We noticed this today when the trades 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 MELI, it often means somebody knows something is about to happen.
So how do we know what these investors just did?
Today, Benzinga's options scanner spotted 9 uncommon options trades for MercadoLibre.
This isn't normal.
The overall sentiment of these big-money traders is split between 33% bullish and 33%, bearish.
Out of all of the special options we uncovered, 3 are puts, for a total amount of $232,589, and 6 are calls, for a total amount of $389,794.
What's The Price Target?
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $800.0 to $2100.0 for MercadoLibre over the recent three months.
Volume & Open Interest Trends
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 MercadoLibre'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 MercadoLibre's whale activity within a strike price range from $800.0 to $2100.0 in the last 30 days.
MercadoLibre Option Activity Analysis: Last 30 Days
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| MELI | PUT | SWEEP | BEARISH | 12/20/24 | $41.2 | $36.0 | $41.3 | $1700.00 | $144.5K | 72 | 35 |
| MELI | CALL | TRADE | BULLISH | 12/18/26 | $1320.0 | $1310.0 | $1320.0 | $800.00 | $132.0K | 10 | 0 |
| MELI | CALL | TRADE | BEARISH | 03/21/25 | $259.7 | $253.0 | $253.0 | $2000.00 | $75.9K | 46 | 3 |
| MELI | CALL | TRADE | BULLISH | 01/16/26 | $580.0 | $570.5 | $580.0 | $1700.00 | $58.0K | 66 | 1 |
| MELI | CALL | TRADE | BEARISH | 08/23/24 | $201.0 | $189.0 | $192.0 | $1820.00 | $57.6K | 17 | 0 |
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.
Where Is MercadoLibre Standing Right Now?
- Currently trading with a volume of 35,280, the MELI's price is down by -0.62%, now at $2015.5.
- RSI readings suggest the stock is currently may be overbought.
- Anticipated earnings release is in 71 days.
What The Experts Say On MercadoLibre
In the last month, 5 experts released ratings on this stock with an average target price of $2221.0.
- Consistent in their evaluation, an analyst from Goldman Sachs keeps a Buy rating on MercadoLibre with a target price of $2480.
- Consistent in their evaluation, an analyst from Barclays keeps a Overweight rating on MercadoLibre with a target price of $2100.
- Consistent in their evaluation, an analyst from Citigroup keeps a Buy rating on MercadoLibre with a target price of $2200.
- Consistent in their evaluation, an analyst from Susquehanna keeps a Positive rating on MercadoLibre with a target price of $2300.
- An analyst from BTIG has decided to maintain their Buy rating on MercadoLibre, which currently sits at a price target of $2025.
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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