Deep-pocketed investors have adopted a bullish approach towards IBM IBM, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in IBM usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 22 extraordinary options activities for IBM. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 50% leaning bullish and 50% bearish. Among these notable options, 4 are puts, totaling $199,420, and 18 are calls, amounting to $874,476.
Predicted Price Range
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $125.0 to $170.0 for IBM over the recent three months.
Insights into Volume & Open Interest
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 IBM'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 IBM's whale trades within a strike price range from $125.0 to $170.0 in the last 30 days.
IBM 30-Day Option Volume & Interest Snapshot
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| IBM | CALL | TRADE | BULLISH | 06/21/24 | $125.00 | $107.9K | 274 | 33 |
| IBM | CALL | SWEEP | BULLISH | 11/24/23 | $155.00 | $88.4K | 3.0K | 1.4K |
| IBM | CALL | SWEEP | BEARISH | 01/19/24 | $160.00 | $81.4K | 15.4K | 598 |
| IBM | PUT | TRADE | BULLISH | 06/21/24 | $150.00 | $79.4K | 381 | 31 |
| IBM | CALL | SWEEP | BULLISH | 02/16/24 | $155.00 | $60.9K | 6.8K | 160 |
About IBM
IBM looks to be a part of every aspect of an enterprise's IT needs. The company primarily sells software, IT services, consulting, and hardware. IBM operates in 175 countries and employs approximately 350,000 people. The company has a robust roster of 80,000 business partners to service 5,200 clients—which includes 95% of all Fortune 500. While IBM is a B2B company, IBM's outward impact is substantial. For example, IBM manages 90% of all credit card transactions globally and is responsible for 50% of all wireless connections in the world.
Following our analysis of the options activities associated with IBM, we pivot to a closer look at the company's own performance.
Where Is IBM Standing Right Now?
- Trading volume stands at 1,796,760, with IBM's price up by 0.31%, positioned at $154.39.
- RSI indicators show the stock to be may be overbought.
- Earnings announcement expected in 63 days.
Expert Opinions on IBM
4 market experts have recently issued ratings for this stock, with a consensus target price of $153.5.
- An analyst from RBC Capital persists with their Outperform rating on IBM, maintaining a target price of $179.
- An analyst from Wedbush downgraded its action to Neutral with a price target of $140.
- In a cautious move, an analyst from Wedbush downgraded its rating to Neutral, setting a price target of $140.
- An analyst from BMO Capital has decided to maintain their Market Perform rating on IBM, which currently sits at a price target of $155.
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 IBM with Benzinga Pro for real-time alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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