Nike's Options Frenzy: What You Need to Know

Investors with a lot of money to spend have taken a bearish stance on Nike NKE.

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 NKE, 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 25 uncommon options trades for Nike.

This isn't normal.

The overall sentiment of these big-money traders is split between 44% bullish and 48%, bearish.

Out of all of the special options we uncovered, 9 are puts, for a total amount of $2,322,885, and 16 are calls, for a total amount of $1,387,700.

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 $45.0 and $90.0 for Nike, spanning the last three months.

Volume & Open Interest Trends

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

This data can help you track the liquidity and interest for Nike's options for a given strike price.

Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Nike's whale activity within a strike price range from $45.0 to $90.0 in the last 30 days.

Nike Call and Put Volume: 30-Day Overview

Significant Options Trades Detected:

About Nike

Nike is the largest athletic footwear and apparel brand in the world. Key categories include basketball, running, and football (soccer). Footwear generates about two thirds of its sales. Its brands include Nike, Jordan (premium athletic footwear and clothing), and Converse (casual footwear). Nike sells products worldwide through company-owned stores, franchised stores, and third-party retailers. The firm also operates e-commerce platforms in more than 40 countries. Nearly all its production is outsourced to contract manufacturers in more than 30 countries. Nike was founded in 1964 and is based in Beaverton, Oregon.

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

Nike's Current Market Status

• Trading volume stands at 10,591,582, with NKE's price down by -0.09%, positioned at $57.01.
• RSI indicators show the stock to be is currently neutral between overbought and oversold.
• Earnings announcement expected in 64 days.

What Analysts Are Saying About Nike

5 market experts have recently issued ratings for this stock, with a consensus target price of $70.8.

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 Piper Sandler persists with their Overweight rating on Nike, maintaining a target price of $70. * An analyst from Goldman Sachs persists with their Buy rating on Nike, maintaining a target price of $72. * Reflecting concerns, an analyst from Stifel lowers its rating to Hold with a new price target of $75. * Maintaining their stance, an analyst from Stifel continues to hold a Hold rating for Nike, targeting a price of $64. * An analyst from Williams Trading has decided to maintain their Buy rating on Nike, which currently sits at a price target of $73.

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 Nike, Benzinga Pro gives you real-time options trades alerts.