High-rolling investors have positioned themselves bullish on Costco Wholesale COST, 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 COST often signals that someone has privileged information.
Today, Benzinga's options scanner spotted 11 options trades for Costco Wholesale. This is not a typical pattern.
The sentiment among these major traders is split, with 45% bullish and 36% bearish. Among all the options we identified, there was one put, amounting to $31,800, and 10 calls, totaling $521,464.
What's The Price Target?
After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $565.0 and $1005.0 for Costco Wholesale, spanning the last three months.
Insights into 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 Costco Wholesale's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Costco Wholesale's significant trades, within a strike price range of $565.0 to $1005.0, over the past month.
Costco Wholesale 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 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| COST | CALL | TRADE | BEARISH | 01/17/25 | $412.15 | $405.0 | $407.0 | $565.00 | $81.4K | 211 | 2 |
| COST | CALL | TRADE | BULLISH | 12/20/24 | $76.95 | $74.6 | $76.0 | $900.00 | $76.0K | 1.7K | 12 |
| COST | CALL | TRADE | BULLISH | 01/16/26 | $186.15 | $186.15 | $186.15 | $860.00 | $74.4K | 202 | 4 |
| COST | CALL | TRADE | BEARISH | 06/20/25 | $64.4 | $63.15 | $63.15 | $1005.00 | $56.8K | 408 | 9 |
| COST | CALL | TRADE | BEARISH | 08/15/25 | $82.5 | $77.0 | $77.0 | $1000.00 | $53.9K | 59 | 0 |
About Costco Wholesale
Costco operates a membership-based, no-frills retail model, predicated on offering a select product assortment in bulk quantities at bargain prices. The firm avoids maintaining costly product displays by keeping inventory on pallets and limits distribution expenses by storing its inventory at point of sale in the warehouse. Given Costco's frugal cost structure, the firm is able to price its merchandise below competing retailers, driving high sales volume per warehouse and allowing the retailer to generate strong profits on thin margins. Costco operates over 600 warehouses in the United States and boasts over 60% market share in the domestic warehouse club industry. Internationally, Costco operates another 270 warehouses, primarily in markets such as Canada, Mexico, Japan, and the UK.
After a thorough review of the options trading surrounding Costco Wholesale, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Costco Wholesale's Current Market Status
- With a volume of 263,310, the price of COST is down -0.27% at $968.91.
- RSI indicators hint that the underlying stock may be overbought.
- Next earnings are expected to be released in 15 days.
What Analysts Are Saying About Costco Wholesale
3 market experts have recently issued ratings for this stock, with a consensus target price of $1025.0.
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. * Maintaining their stance, an analyst from BMO Capital continues to hold a Outperform rating for Costco Wholesale, targeting a price of $1075. * Maintaining their stance, an analyst from Telsey Advisory Group continues to hold a Outperform rating for Costco Wholesale, targeting a price of $1000. * An analyst from Telsey Advisory Group persists with their Outperform rating on Costco Wholesale, maintaining a target price of $1000.
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 Costco Wholesale with Benzinga Pro for real-time alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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