Spotlight on TJX Companies: Analyzing the Surge in Options Activity

Investors with a lot of money to spend have taken a bearish stance on TJX Companies TJX.

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 TJX, 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 10 uncommon options trades for TJX Companies.

This isn't normal.

The overall sentiment of these big-money traders is split between 20% bullish and 80%, bearish.

Out of all of the special options we uncovered, 3 are puts, for a total amount of $204,884, and 7 are calls, for a total amount of $228,486.

What's The Price Target?

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $87.5 to $100.0 for TJX Companies over the recent three months.

Volume & Open Interest Trends

In today's trading context, the average open interest for options of TJX Companies stands at 736.17, with a total volume reaching 3,407.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in TJX Companies, situated within the strike price corridor from $87.5 to $100.0, throughout the last 30 days.

TJX Companies Option Volume And Open Interest Over Last 30 Days

Noteworthy Options Activity:

About TJX Companies

TJX is a leading off-price retailer of apparel, home fashions, and other merchandise. It sells a variety of branded goods, opportunistically buying inventory from a network of over 21,000 vendors worldwide. TJX targets undercutting conventional retailers' regular prices by 20%-60%, capitalizing on a flexible merchandising network, low-frills stores, and a treasure-hunt shopping experience to drive margins and inventory turnover. TJX derived 77% of fiscal 2023 revenue from the United States, with 12% from Europe (mostly the United Kingdom and Germany), 10% from Canada, and the remainder from Australia. The company operated more than 4,800 stores at the end of fiscal 2023 under the T.J. Maxx, T.K. Maxx, Marshalls, HomeGoods, Winners, Homesense, and Sierra banners.

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

Current Position of TJX Companies

• With a trading volume of 4,201,656, the price of TJX is down by -0.7%, reaching $88.8.
• Current RSI values indicate that the stock is may be approaching oversold.
• Next earnings report is scheduled for 97 days from now.

Expert Opinions on TJX Companies

A total of 4 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $100.5.

• An analyst from Telsey Advisory Group persists with their Outperform rating on TJX Companies, maintaining a target price of $105.
• An analyst from UBS has decided to maintain their Neutral rating on TJX Companies, which currently sits at a price target of $91.
• An analyst from Evercore ISI Group has revised its rating downward to Outperform, adjusting the price target to $105.
• Maintaining their stance, an analyst from Morgan Stanley continues to hold a Overweight rating for TJX Companies, targeting a price of $101.

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 TJX Companies with Benzinga Pro for real-time alerts.