Wayfair Unusual Options Activity

Investors with a lot of money to spend have taken a bearish stance on Wayfair W.

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 W, 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 13 uncommon options trades for Wayfair.

This isn't normal.

The overall sentiment of these big-money traders is split between 23% bullish and 61%, bearish.

Out of all of the special options we uncovered, 8 are puts, for a total amount of $1,474,756, and 5 are calls, for a total amount of $2,722,980.

Expected Price Movements

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $27.5 and $49.0 for Wayfair, spanning the last three months.

Insights into Volume & Open Interest

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Wayfair's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Wayfair's substantial trades, within a strike price spectrum from $27.5 to $49.0 over the preceding 30 days.

Wayfair Option Volume And Open Interest Over Last 30 Days

Biggest Options Spotted:

About Wayfair

Wayfair engages in e-commerce in the United States (88% of 2024 sales), Canada, the United Kingdom, and Ireland. It's also embarked on expansion into the brick-and-mortar landscape, with a handful of stores between the AllModern, Birch Lane, Joss & Main, and Wayfair banners. At the end of 2024, the firm offered more than 30 million products from more than 20,000 suppliers under the brands Wayfair, Joss & Main, AllModern, Birch Lane, and Perigold. Its offerings include furniture, everyday and seasonal decor, decorative accents, housewares, and other home goods. Wayfair was founded in 2002 and began trading publicly in 2014.

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

Wayfair's Current Market Status

• Currently trading with a volume of 4,274,962, the W's price is up by 10.04%, now at $37.04.
• RSI readings suggest the stock is currently is currently neutral between overbought and oversold.
• Anticipated earnings release is in 38 days.

What Analysts Are Saying About Wayfair

Over the past month, 4 industry analysts have shared their insights on this stock, proposing an average target price of $50.0.

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. * An analyst from RBC Capital persists with their Sector Perform rating on Wayfair, maintaining a target price of $43. * An analyst from JP Morgan persists with their Overweight rating on Wayfair, maintaining a target price of $50. * In a cautious move, an analyst from Guggenheim downgraded its rating to Buy, setting a price target of $60. * In a positive move, an analyst from Jefferies has upgraded their rating to Buy and adjusted the price target to $47.

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 Wayfair with Benzinga Pro for real-time alerts.