Spotlight on MercadoLibre: Analyzing the Surge in Options Activity

Whales with a lot of money to spend have taken a noticeably bearish stance on MercadoLibre.

Looking at options history for MercadoLibre MELI we detected 23 trades.

If we consider the specifics of each trade, it is accurate to state that 21% of the investors opened trades with bullish expectations and 52% with bearish.

From the overall spotted trades, 6 are puts, for a total amount of $282,447 and 17, calls, for a total amount of $1,102,390.

Predicted Price Range

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $620.0 to $2400.0 for MercadoLibre over the recent three months.

Analyzing Volume & Open Interest

In terms of liquidity and interest, the mean open interest for MercadoLibre options trades today is 29.0 with a total volume of 33.00.

In the following chart, we are able to follow the development of volume and open interest of call and put options for MercadoLibre's big money trades within a strike price range of $620.0 to $2400.0 over the last 30 days.

MercadoLibre 30-Day Option Volume & Interest Snapshot

Biggest Options Spotted:

About MercadoLibre

MercadoLibre runs the largest e-commerce marketplace in Latin America, with more than 218 million active users and 1 million active sellers across 18 countries stitching into its commerce network or fintech solutions when last reported. The company operates a host of complementary businesses to its core online shop, with shipping solutions (Mercado Envios), a payment and financing operation (Mercado Pago and Mercado Credito), advertisements (Mercado Clics), classifieds, and a turnkey e-commerce solution (Mercado Shops) rounding out its arsenal. MercadoLibre generates revenue from final value fees, advertising royalties, payment processing, insertion fees, subscription fees, and interest income from consumer and small-business lending.

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

Where Is MercadoLibre Standing Right Now?

• Trading volume stands at 143,308, with MELI's price down by -2.23%, positioned at $2071.0.
• RSI indicators show the stock to be may be approaching overbought.
• Earnings announcement expected in 15 days.

Expert Opinions on MercadoLibre

2 market experts have recently issued ratings for this stock, with a consensus target price of $2530.0.

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. * An analyst from Morgan Stanley persists with their Overweight rating on MercadoLibre, maintaining a target price of $2560. * In a cautious move, an analyst from Benchmark downgraded its rating to Buy, setting a price target of $2500.

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 MercadoLibre with Benzinga Pro for real-time alerts.