Deep-pocketed investors have adopted a bullish approach towards McDonald's MCD, 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 MCD usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 26 extraordinary options activities for McDonald's. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 65% leaning bullish and 26% bearish. Among these notable options, 22 are puts, totaling $1,226,308, and 4 are calls, amounting to $153,933.
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 $290.0 and $440.0 for McDonald's, spanning the last three months.
Volume & Open Interest Development
In terms of liquidity and interest, the mean open interest for McDonald's options trades today is 439.33 with a total volume of 3,069.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for McDonald's's big money trades within a strike price range of $290.0 to $440.0 over the last 30 days.
McDonald's 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 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| MCD | PUT | TRADE | BEARISH | 01/16/26 | $139.5 | $137.05 | $139.5 | $440.00 | $111.6K | 8 | 0 |
| MCD | PUT | TRADE | BEARISH | 12/20/24 | $12.3 | $12.25 | $12.3 | $305.00 | $77.4K | 113 | 368 |
| MCD | PUT | SWEEP | BULLISH | 12/20/24 | $15.4 | $15.05 | $15.16 | $310.00 | $75.3K | 216 | 254 |
| MCD | PUT | SWEEP | BULLISH | 12/20/24 | $15.1 | $15.1 | $15.1 | $310.00 | $75.3K | 216 | 354 |
| MCD | PUT | SWEEP | BULLISH | 12/20/24 | $12.55 | $12.3 | $12.38 | $305.00 | $73.8K | 113 | 368 |
About McDonald's
McDonald's is the largest restaurant owner-operator in the world, with 2023 system sales of $130 billion across nearly than 42,000 stores and 115 markets. McDonald's pioneered the franchise model, building its footprint through partnerships with independent restaurant franchisees and master franchise partners around the globe. The firm earns roughly 60% of its revenue from franchise royalty fees and lease payments, with most of the remainder coming from company-operated stores across its three core segments: the United States, internationally operated markets, and international developmental/licensed markets.
After a thorough review of the options trading surrounding McDonald's, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
McDonald's's Current Market Status
- With a volume of 1,230,705, the price of MCD is down -0.99% at $300.76.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 21 days.
What The Experts Say On McDonald's
A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $326.8.
Turn $1000 into $1270 in just 20 days?
20-year pro options trader reveals his one-line chart technique that shows when to buy and sell. Copy his trades, which have had averaged a 27% profit every 20 days. Click here for access. * An analyst from Loop Capital has decided to maintain their Buy rating on McDonald's, which currently sits at a price target of $342. * Maintaining their stance, an analyst from Jefferies continues to hold a Buy rating for McDonald's, targeting a price of $330. * An analyst from Citigroup persists with their Neutral rating on McDonald's, maintaining a target price of $317. * Consistent in their evaluation, an analyst from Goldman Sachs keeps a Neutral rating on McDonald's with a target price of $325. * An analyst from Baird persists with their Outperform rating on McDonald's, maintaining a target price of $320.
Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.
If you want to stay updated on the latest options trades for McDonald's, Benzinga Pro gives you real-time options trades alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
