A Closer Look at Spotify Technology's Options Market Dynamics

Investors with a lot of money to spend have taken a bearish stance on Spotify Technology SPOT.

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 SPOT, 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 32 uncommon options trades for Spotify Technology.

This isn't normal.

The overall sentiment of these big-money traders is split between 31% bullish and 34%, bearish.

Out of all of the special options we uncovered, 18 are puts, for a total amount of $1,372,451, and 14 are calls, for a total amount of $728,544.

Predicted Price Range

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $220.0 and $665.0 for Spotify Technology, 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 Spotify Technology's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Spotify Technology's significant trades, within a strike price range of $220.0 to $665.0, over the past month.

Spotify Technology Call and Put Volume: 30-Day Overview

Biggest Options Spotted:

About Spotify Technology

Spotify is the leading global music streaming service provider, with nearly 700 million monthly active users and over 250 million paying subscribers, with the latter comprising the firm's premium segment. most of the firm's revenue and nearly all its gross profit come from the subscribers, who pay a monthly fee to access a very comprehensive music library that consists of most of the most popular songs ever recorded, including all from the major record labels. The firm also sells separate audiobook subscriptions and integrates podcasts within its standard music app. Podcast content is not exclusive and is typically free to access on other platforms. Ad-supported users can access a similar music catalog but cannot customize a similar on-demand experience.

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

Where Is Spotify Technology Standing Right Now?

• With a trading volume of 682,176, the price of SPOT is down by -2.7%, reaching $564.55.
• Current RSI values indicate that the stock is is currently neutral between overbought and oversold.
• Next earnings report is scheduled for 32 days from now.

Professional Analyst Ratings for Spotify Technology

2 market experts have recently issued ratings for this stock, with a consensus target price of $740.0.

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 Wells Fargo keeps a Overweight rating on Spotify Technology with a target price of $740. * In a cautious move, an analyst from China Renaissance downgraded its rating to Buy, setting a price target of $740.

Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.

If you want to stay updated on the latest options trades for Spotify Technology, Benzinga Pro gives you real-time options trades alerts.