High-rolling investors have positioned themselves bearish on Spotify Technology SPOT, and it's important for retail traders to take note. \This activity came to our attention today through Benzinga's tracking of publicly available options data. The identities of these investors are uncertain, but such a significant move in SPOT often signals that someone has privileged information.
Today, Benzinga's options scanner spotted 8 options trades for Spotify Technology. This is not a typical pattern.
The sentiment among these major traders is split, with 37% bullish and 50% bearish. Among all the options we identified, there was one put, amounting to $60,060, and 7 calls, totaling $303,545.
Expected Price Movements
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $350.0 to $410.0 for Spotify Technology over the recent 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 Spotify Technology's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Spotify Technology's significant trades, within a strike price range of $350.0 to $410.0, over the past month.
Spotify Technology Option Volume And Open Interest Over 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 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| SPOT | CALL | SWEEP | BULLISH | 10/18/24 | $5.6 | $5.5 | $5.55 | $377.50 | $101.0K | 121 | 184 |
| SPOT | PUT | SWEEP | BEARISH | 10/18/24 | $2.2 | $2.04 | $2.2 | $365.00 | $60.0K | 1.4K | 398 |
| SPOT | CALL | TRADE | BEARISH | 11/15/24 | $12.45 | $11.0 | $11.0 | $410.00 | $48.4K | 1.6K | 103 |
| SPOT | CALL | SWEEP | BULLISH | 10/18/24 | $2.92 | $2.91 | $2.92 | $385.00 | $40.6K | 1.7K | 145 |
| SPOT | CALL | TRADE | BEARISH | 11/15/24 | $12.45 | $10.5 | $11.05 | $410.00 | $29.8K | 1.6K | 130 |
About Spotify Technology
Spotify, headquartered in Stockholm, Sweden, is one of the world's largest music streaming service providers, with 602 million monthly active users at the end of 2023. The firm monetizes its users through a paid subscription model, referred to as its premium service, and an ad-based model, referred to as its ad-supported service. Revenue from premium and ad-supported services represented 86% and 14% of Spotify's 2023 total revenue, respectively.
After a thorough review of the options trading surrounding Spotify Technology, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Present Market Standing of Spotify Technology
- Currently trading with a volume of 403,128, the SPOT's price is down by -0.97%, now at $374.34.
- RSI readings suggest the stock is currently may be approaching overbought.
- Anticipated earnings release is in 32 days.
What The Experts Say On Spotify Technology
Over the past month, 4 industry analysts have shared their insights on this stock, proposing an average target price of $407.5.
Unusual Options Activity Detected: Smart Money on the Move
Benzinga Edge's Unusual Options board spots potential market movers before they happen. See what positions big money is taking on your favorite stocks. Click here for access. * Consistent in their evaluation, an analyst from Pivotal Research keeps a Buy rating on Spotify Technology with a target price of $510. * Consistent in their evaluation, an analyst from Keybanc keeps a Overweight rating on Spotify Technology with a target price of $440. * In a cautious move, an analyst from Cantor Fitzgerald downgraded its rating to Neutral, setting a price target of $340. * Reflecting concerns, an analyst from Cantor Fitzgerald lowers its rating to Neutral with a new price target of $340.
Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Spotify Technology options trades with real-time alerts from Benzinga Pro.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
