Carvana Unusual Options Activity For March 25

Investors with a lot of money to spend have taken a bearish 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 39 uncommon options trades for Carvana.

This isn't normal.

The overall sentiment of these big-money traders is split between 20% bullish and 61%, bearish.

Out of all of the special options we uncovered, 8 are puts, for a total amount of $850,630, and 31 are calls, for a total amount of $2,040,421.

Projected Price Targets

Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $65.0 to $260.0 for Carvana over the last 3 months.

Volume & Open Interest Development

In today's trading context, the average open interest for options of Carvana stands at 778.71, with a total volume reaching 7,832.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Carvana, situated within the strike price corridor from $65.0 to $260.0, throughout the last 30 days.

Carvana Call and Put Volume: 30-Day Overview

Significant Options Trades Detected:

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.

After a thorough review of the options trading surrounding Carvana, we move to examine the company in more detail. This includes an assessment of its current market status and performance.

Carvana's Current Market Status

• With a volume of 1,069,142, the price of CVNA is up 1.35% at $216.52.
• RSI indicators hint that the underlying stock may be approaching overbought.
• Next earnings are expected to be released in 36 days.

Professional Analyst Ratings for Carvana

5 market experts have recently issued ratings for this stock, with a consensus target price of $286.0.

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. * Consistent in their evaluation, an analyst from Evercore ISI Group keeps a In-Line rating on Carvana with a target price of $240. * An analyst from Piper Sandler has elevated its stance to Overweight, setting a new price target at $225. * Reflecting concerns, an analyst from Stephens & Co. lowers its rating to Overweight with a new price target of $300. * Maintaining their stance, an analyst from JP Morgan continues to hold a Overweight rating for Carvana, targeting a price of $365. * Reflecting concerns, an analyst from Stephens & Co. lowers its rating to Overweight with a new 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.