What the Options Market Tells Us About Novo Nordisk

Investors with a lot of money to spend have taken a bullish stance on Novo Nordisk NVO.

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 NVO, 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 12 uncommon options trades for Novo Nordisk.

This isn't normal.

The overall sentiment of these big-money traders is split between 58% bullish and 41%, bearish.

Out of all of the special options we uncovered, 7 are puts, for a total amount of $295,009, and 5 are calls, for a total amount of $453,074.

Projected Price Targets

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $105.0 and $155.0 for Novo Nordisk, spanning the last three months.

Analyzing Volume & Open Interest

Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Novo Nordisk's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Novo Nordisk's significant trades, within a strike price range of $105.0 to $155.0, over the past month.

Novo Nordisk Option Volume And Open Interest Over Last 30 Days

Noteworthy Options Activity:

About Novo Nordisk

With roughly one third of the global branded diabetes treatment market, Novo Nordisk is the leading provider of diabetes-care products in the world. Based in Denmark, the company manufactures and markets a variety of human and modern insulins, injectable diabetes treatments such as GLP-1 therapy, oral antidiabetic agents, and obesity treatments. Novo also has a biopharmaceutical segment (constituting roughly 10% of revenue) that specializes in protein therapies for hemophilia and other disorders.

Following our analysis of the options activities associated with Novo Nordisk, we pivot to a closer look at the company's own performance.

Current Position of Novo Nordisk

• With a trading volume of 1,361,626, the price of NVO is up by 2.15%, reaching $133.7.
• Current RSI values indicate that the stock is is currently neutral between overbought and oversold.
• Next earnings report is scheduled for 55 days from now.

Expert Opinions on Novo Nordisk

Over the past month, 2 industry analysts have shared their insights on this stock, proposing an average target price of $160.0.

• An analyst from Cantor Fitzgerald has revised its rating downward to Overweight, adjusting the price target to $160.
• An analyst from BMO Capital persists with their Outperform rating on Novo Nordisk, maintaining a target price of $160.

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 Novo Nordisk with Benzinga Pro for real-time alerts.