Looking At AT&T's Recent Unusual Options Activity

Investors with a lot of money to spend have taken a bearish stance on AT&T T.

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 T, 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 AT&T.

This isn't normal.

The overall sentiment of these big-money traders is split between 33% bullish and 66%, bearish.

Out of all of the special options we uncovered, 3 are puts, for a total amount of $178,405, and 6 are calls, for a total amount of $621,122.

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 $13.0 and $22.0 for AT&T, spanning the last three months.

Volume & Open Interest Development

Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for AT&T'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 AT&T's whale trades within a strike price range from $13.0 to $22.0 in the last 30 days.

AT&T 30-Day Option Volume & Interest Snapshot

Significant Options Trades Detected:

About AT&T

The wireless business contributes nearly 70% of AT&T's revenue. The firm is the third-largest US wireless carrier, connecting 72 million postpaid and 17 million prepaid phone customers. Fixed-line enterprise services, which account for about 16% of revenue, include internet access, private networking, security, voice, and wholesale network capacity. Residential fixed-line services, about 11% of revenue, primarily consist of broadband internet access, serving 14 million customers. AT&T also has a sizable presence in Mexico, with 23 million customers, but this business only accounts for 4% of revenue. The firm still holds a 70% equity stake in satellite television provider DirecTV but does not consolidate this business in its financial statements.

Present Market Standing of AT&T

• With a trading volume of 9,603,974, the price of T is down by -0.09%, reaching $19.47.
• Current RSI values indicate that the stock is may be approaching overbought.
• Next earnings report is scheduled for 58 days from now.

What The Experts Say On AT&T

A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $21.2.

• Consistent in their evaluation, an analyst from Evercore ISI Group keeps a In-Line rating on AT&T with a target price of $19.
• An analyst from JP Morgan has decided to maintain their Overweight rating on AT&T, which currently sits at a price target of $24.
• An analyst from MoffettNathanson has decided to maintain their Neutral rating on AT&T, which currently sits at a price target of $18.
• An analyst from Barclays has decided to maintain their Overweight rating on AT&T, which currently sits at a price target of $22.
• An analyst from TD Cowen persists with their Hold rating on AT&T, maintaining a target price of $23.

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 AT&T with Benzinga Pro for real-time alerts.