Deep-pocketed investors have adopted a bullish approach towards DraftKings DKNG, 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 DKNG usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 12 extraordinary options activities for DraftKings. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 50% leaning bullish and 50% bearish. Among these notable options, 3 are puts, totaling $243,940, and 9 are calls, amounting to $600,915.
Expected Price Movements
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $32.5 to $55.0 for DraftKings over the last 3 months.
Volume & Open Interest Development
In terms of liquidity and interest, the mean open interest for DraftKings options trades today is 5089.27 with a total volume of 3,209.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for DraftKings's big money trades within a strike price range of $32.5 to $55.0 over the last 30 days.
DraftKings 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 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| DKNG | CALL | SWEEP | BEARISH | 12/18/26 | $7.0 | $5.6 | $5.6 | $55.00 | $242.4K | 89 | 701 |
| DKNG | CALL | TRADE | BEARISH | 02/21/25 | $3.4 | $3.35 | $3.35 | $39.00 | $134.6K | 349 | 402 |
| DKNG | PUT | SWEEP | BULLISH | 02/21/25 | $10.8 | $10.7 | $10.7 | $46.00 | $102.7K | 258 | 206 |
| DKNG | PUT | SWEEP | BULLISH | 02/21/25 | $10.8 | $10.7 | $10.7 | $46.00 | $99.5K | 258 | 94 |
| DKNG | CALL | SWEEP | BULLISH | 12/20/24 | $2.17 | $2.03 | $2.17 | $38.00 | $43.4K | 2.1K | 52 |
About DraftKings
DraftKings got its start in 2012 as an innovator in daily fantasy sports. Then, following a Supreme Court ruling in 2018 that allowed states to legalize online sports wagering, the company expanded into online sports and casino gambling, where it generally holds the number two or three revenue share position across states in which it competes. DraftKings is now live with online or retail sports betting in 27 states and iGaming in seven states, with both products available to around 40% of Canada's population. The company also operates a non-fungible token commissioned-based marketplace and develops and licenses online gaming products.
Having examined the options trading patterns of DraftKings, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance
DraftKings's Current Market Status
- Trading volume stands at 3,554,798, with DKNG's price up by 1.95%, positioned at $36.38.
- RSI indicators show the stock to be is currently neutral between overbought and oversold.
- Earnings announcement expected in 2 days.
What The Experts Say On DraftKings
Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $51.4.
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. * An analyst from Wells Fargo persists with their Overweight rating on DraftKings, maintaining a target price of $52. * An analyst from Morgan Stanley has decided to maintain their Overweight rating on DraftKings, which currently sits at a price target of $48. * In a cautious move, an analyst from Benchmark downgraded its rating to Buy, setting a price target of $44. * An analyst from JMP Securities downgraded its action to Market Outperform with a price target of $51. * An analyst from Mizuho has decided to maintain their Outperform rating on DraftKings, which currently sits at a price target of $62.
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 DraftKings, Benzinga Pro gives you real-time options trades alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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