Someone with a lot of money to spend has taken a bearish stance on Humana HUM.
And retail traders should know.
We noticed this today when the big position showed up on publicly available options history that we track here at Benzinga.
Whether this is an institution or just a wealthy individual, we don't know. But when something this big happens with HUM, it often means somebody knows something is about to happen.
Today, Benzinga's options scanner spotted 17 options trades for Humana.
This isn't normal.
The overall sentiment of these big-money traders is split between 35% bullish and 64%, bearish.
Out of all of the options we uncovered, there was 1 put, for a total amount of $116,285, and 16, calls, for a total amount of $1,045,376..
What's The Price Target?
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $410.0 to $490.0 for Humana over the last 3 months.
Volume & Open Interest Development
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 Humana'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 Humana's whale activity within a strike price range from $410.0 to $490.0 in the last 30 days.
Humana Option Volume And Open Interest Over Last 30 Days
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| HUM | CALL | SWEEP | BEARISH | 08/04/23 | $432.50 | $249.2K | 63 | 185 |
| HUM | CALL | TRADE | BEARISH | 08/18/23 | $450.00 | $137.0K | 669 | 137 |
| HUM | PUT | SWEEP | BEARISH | 06/21/24 | $410.00 | $116.2K | 38 | 100 |
| HUM | CALL | SWEEP | BULLISH | 08/18/23 | $480.00 | $95.7K | 196 | 400 |
| HUM | CALL | SWEEP | BULLISH | 11/17/23 | $450.00 | $87.3K | 236 | 45 |
Where Is Humana Standing Right Now?
- With a volume of 1,220,070, the price of HUM is down -1.35% at $448.21.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 7 days.
What The Experts Say On Humana:
- JP Morgan downgraded its action to Neutral with a price target of $540
- Wells Fargo has decided to maintain their Overweight rating on Humana, which currently sits at a price target of $541.
- Morgan Stanley downgraded its action to Overweight with a price target of $637
- Mizuho has decided to maintain their Buy rating on Humana, which currently sits at a price target of $550.
- UBS has decided to maintain their Buy rating on Humana, which currently sits at a price target of $560.
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 Humana, Benzinga Pro gives you real-time options trades alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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