Behind the Scenes of Dollar Gen's Latest Options Trends

Investors with a lot of money to spend have taken a bearish stance on Dollar Gen DG.

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 DG, 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 11 uncommon options trades for Dollar Gen.

This isn't normal.

The overall sentiment of these big-money traders is split between 18% bullish and 81%, bearish.

Out of all of the special options we uncovered, 8 are puts, for a total amount of $745,310, and 3 are calls, for a total amount of $92,043.

What's The Price Target?

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $80.0 and $160.0 for Dollar Gen, spanning the last three months.

Volume & Open Interest Development

Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for Dollar Gen'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 Dollar Gen's whale trades within a strike price range from $80.0 to $160.0 in the last 30 days.

Dollar Gen Call and Put Volume: 30-Day Overview

Noteworthy Options Activity:

About Dollar Gen

With more than 19,000 locations, Dollar General's banner is nearly ubiquitous across the rural United States. Dollar General serves as a convenient shopping destination for fill-in store trips, with its value proposition most relevant to consumers in small communities with a dearth of shopping options. The retailer operates a frugal store of about 7,500 square feet and primarily offers an assortment of branded and private-label consumable items (80% of net sales) such as paper and cleaning products, packaged and perishable food, tobacco, and health and beauty items at low prices. Dollar General also offers a limited assortment of seasonal merchandise, home products, and apparel. The firm sells most items at a price point of $10 or lower.

Having examined the options trading patterns of Dollar Gen, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance

Current Position of Dollar Gen

• With a volume of 880,424, the price of DG is up 0.3% at $119.82.
• RSI indicators hint that the underlying stock may be overbought.
• Next earnings are expected to be released in 28 days.

Expert Opinions on Dollar Gen

Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $123.6.

• Showing optimism, an analyst from Gordon Haskett upgrades its rating to Buy with a revised price target of $140.
• An analyst from Telsey Advisory Group persists with their Market Perform rating on Dollar Gen, maintaining a target price of $124.
• An analyst from Piper Sandler has decided to maintain their Neutral rating on Dollar Gen, which currently sits at a price target of $114.
• Maintaining their stance, an analyst from Morgan Stanley continues to hold a Equal-Weight rating for Dollar Gen, targeting a price of $125.
• An analyst from Citigroup has decided to maintain their Neutral rating on Dollar Gen, which currently sits at a price target of $115.

Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Dollar Gen options trades with real-time alerts from Benzinga Pro.