Spotlight on Newmont: Analyzing the Surge in Options Activity

High-rolling investors have positioned themselves bearish on Newmont NEM, 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 NEM often signals that someone has privileged information.

Today, Benzinga's options scanner spotted 8 options trades for Newmont. This is not a typical pattern.

The sentiment among these major traders is split, with 25% bullish and 62% bearish. Among all the options we identified, there was one put, amounting to $48,300, and 7 calls, totaling $629,680.

Expected Price Movements

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $35.0 to $50.0 for Newmont over the recent three months.

Analyzing Volume & Open Interest

In terms of liquidity and interest, the mean open interest for Newmont options trades today is 4342.12 with a total volume of 1,888.00.

In the following chart, we are able to follow the development of volume and open interest of call and put options for Newmont's big money trades within a strike price range of $35.0 to $50.0 over the last 30 days.

Newmont Option Volume And Open Interest Over Last 30 Days

Largest Options Trades Observed:

About Newmont

Newmont is the world's largest gold miner. It bought Goldcorp in 2019, combined its Nevada mines in a joint venture with competitor Barrick later that year, and also purchased competitor Newcrest in November 2023. Its portfolio includes 17 wholly or majority owned mines and interests in two joint ventures in the Americas, Africa, Australia and Papua New Guinea. The company is expected to produce roughly 5.5 million ounces of gold in 2024 from its core mines and 6.8 million in total. It is likely to sell a number of its higher cost, smaller mines accounting for 20% of forecast sales in 2024. Newmont also produces material amounts of copper, silver, zinc, and lead as byproducts. It had about two decades of gold reserves along with significant byproduct reserves at the end of December 2023.

Following our analysis of the options activities associated with Newmont, we pivot to a closer look at the company's own performance.

Newmont's Current Market Status

• Trading volume stands at 5,935,415, with NEM's price down by -1.31%, positioned at $42.52.
• RSI indicators show the stock to be may be overbought.
• Earnings announcement expected in 20 days.

What Analysts Are Saying About Newmont

1 market experts have recently issued ratings for this stock, with a consensus target price of $50.0.

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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 Newmont with Benzinga Pro for real-time alerts.