ServiceNow Unusual Options Activity

Investors with a lot of money to spend have taken a bearish stance on ServiceNow NOW.

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 NOW, 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 27 uncommon options trades for ServiceNow.

This isn't normal.

The overall sentiment of these big-money traders is split between 37% bullish and 40%, bearish.

Out of all of the special options we uncovered, 8 are puts, for a total amount of $1,825,605, and 19 are calls, for a total amount of $760,177.

What's The Price Target?

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $700.0 to $1440.0 for ServiceNow during the past quarter.

Volume & Open Interest Development

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in ServiceNow's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to ServiceNow's substantial trades, within a strike price spectrum from $700.0 to $1440.0 over the preceding 30 days.

ServiceNow Option Volume And Open Interest Over Last 30 Days

Largest Options Trades Observed:

About ServiceNow

ServiceNow Inc provides software solutions to structure and automate various business processes via a SaaS delivery model. The company primarily focuses on the IT function for enterprise customers. ServiceNow began with IT service management, expanded within the IT function, and more recently directed its workflow automation logic to functional areas beyond IT, notably customer service, HR service delivery, and security operations. ServiceNow also offers an application development platform as a service.

In light of the recent options history for ServiceNow, it's now appropriate to focus on the company itself. We aim to explore its current performance.

Where Is ServiceNow Standing Right Now?

• With a volume of 443,226, the price of NOW is up 0.65% at $1055.13.
• RSI indicators hint that the underlying stock may be overbought.
• Next earnings are expected to be released in 70 days.

Expert Opinions on ServiceNow

In the last month, 5 experts released ratings on this stock with an average target price of $980.0.

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. * Consistent in their evaluation, an analyst from Baird keeps a Outperform rating on ServiceNow with a target price of $975. * Maintaining their stance, an analyst from Mizuho continues to hold a Outperform rating for ServiceNow, targeting a price of $980. * An analyst from RBC Capital has decided to maintain their Outperform rating on ServiceNow, which currently sits at a price target of $1045. * Maintaining their stance, an analyst from JMP Securities continues to hold a Market Outperform rating for ServiceNow, targeting a price of $1000. * An analyst from Truist Securities persists with their Hold rating on ServiceNow, maintaining a target price of $900.

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 ServiceNow, Benzinga Pro gives you real-time options trades alerts.