Spotlight on First Solar: Analyzing the Surge in Options Activity

Investors with a lot of money to spend have taken a bearish stance on First Solar FSLR.

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 FSLR, 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 23 uncommon options trades for First Solar.

This isn't normal.

The overall sentiment of these big-money traders is split between 26% bullish and 60%, bearish.

Out of all of the special options we uncovered, 13 are puts, for a total amount of $3,941,095, and 10 are calls, for a total amount of $846,696.

Predicted Price Range

Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $110.0 to $180.0 for First Solar over the last 3 months.

Volume & Open Interest Trends

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in First Solar's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to First Solar's substantial trades, within a strike price spectrum from $110.0 to $180.0 over the preceding 30 days.

First Solar 30-Day Option Volume & Interest Snapshot

Noteworthy Options Activity:

About First Solar

First Solar designs and manufactures solar photovoltaic panels, modules, and systems for use in utility-scale development projects. The company's solar modules use cadmium telluride to convert sunlight into electricity. This is commonly called thin-film technology. First Solar is the world's largest thin-film solar module manufacturer. It has production lines in Vietnam, Malaysia, the United States, and India.

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

Present Market Standing of First Solar

• Trading volume stands at 937,372, with FSLR's price down by -2.64%, positioned at $127.8.
• RSI indicators show the stock to be may be approaching overbought.
• Earnings announcement expected in 14 days.

Expert Opinions on First Solar

Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $239.0.

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 UBS has decided to maintain their Buy rating on First Solar, which currently sits at a price target of $240. * An analyst from Truist Securities has revised its rating downward to Buy, adjusting the price target to $245. * An analyst from Guggenheim persists with their Buy rating on First Solar, maintaining a target price of $253. * An analyst from Baird persists with their Outperform rating on First Solar, maintaining a target price of $240. * An analyst from Susquehanna has decided to maintain their Positive rating on First Solar, which currently sits at a price target of $217.

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 First Solar with Benzinga Pro for real-time alerts.