Spotlight on Carvana: Analyzing the Surge in Options Activity

Investors with a lot of money to spend have taken a bullish stance on Carvana CVNA.

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 CVNA, 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 80 uncommon options trades for Carvana.

This isn't normal.

The overall sentiment of these big-money traders is split between 50% bullish and 31%, bearish.

Out of all of the special options we uncovered, 48 are puts, for a total amount of $3,614,415, and 32 are calls, for a total amount of $2,275,999.

Projected Price Targets

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $60.0 to $390.0 for Carvana during the past quarter.

Insights into Volume & Open Interest

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

This data can help you track the liquidity and interest for Carvana's options for a given strike price.

Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Carvana's whale activity within a strike price range from $60.0 to $390.0 in the last 30 days.

Carvana Call and Put Volume: 30-Day Overview

Largest Options Trades Observed:

About Carvana

Carvana Co is an e-commerce platform for buying and selling used cars. The company derives revenue from used vehicle sales, wholesale vehicle sales and other sales and revenues. The other sales and revenues include sales of loans originated and sold in securitization transactions or to financing partners, commissions received on VSCs and sales of GAP waiver coverage. The foundation of the business is retail vehicle unit sales. This drives the majority of the revenue and allows the company to capture additional revenue streams associated with financing, VSCs, auto insurance and GAP waiver coverage, as well as trade-in vehicles.

Current Position of Carvana

• Trading volume stands at 9,777,745, with CVNA's price down by -9.54%, positioned at $180.53.
• RSI indicators show the stock to be may be oversold.
• Earnings announcement expected in 48 days.

What The Experts Say On Carvana

3 market experts have recently issued ratings for this stock, with a consensus target price of $316.6666666666667.

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 Needham keeps a Buy rating on Carvana with a target price of $330. * Reflecting concerns, an analyst from JMP Securities lowers its rating to Market Outperform with a new price target of $320. * In a cautious move, an analyst from Stephens & Co. downgraded its rating to Overweight, setting a price target of $300.

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 Carvana with Benzinga Pro for real-time alerts.