Financial giants have made a conspicuous bullish move on McDonald's. Our analysis of options history for McDonald's MCD revealed 14 unusual trades.
Delving into the details, we found 50% of traders were bullish, while 50% showed bearish tendencies. Out of all the trades we spotted, 2 were puts, with a value of $156,440, and 12 were calls, valued at $957,664.
What's The Price Target?
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $260.0 to $290.0 for McDonald's over the recent three months.
Volume & Open Interest Development
In terms of liquidity and interest, the mean open interest for McDonald's options trades today is 1033.43 with a total volume of 5,547.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for McDonald's's big money trades within a strike price range of $260.0 to $290.0 over the last 30 days.
McDonald's 30-Day Option Volume & Interest Snapshot
Significant Options Trades Detected:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| MCD | CALL | SWEEP | BULLISH | 03/15/24 | $290.00 | $285.4K | 1.0K | 1.0K |
| MCD | CALL | SWEEP | NEUTRAL | 03/15/24 | $290.00 | $281.1K | 1.0K | 499 |
| MCD | PUT | TRADE | BULLISH | 01/19/24 | $290.00 | $117.0K | 534 | 31 |
| MCD | CALL | SWEEP | BULLISH | 03/15/24 | $275.00 | $72.8K | 1.0K | 56 |
| MCD | CALL | SWEEP | BEARISH | 06/21/24 | $280.00 | $49.4K | 237 | 32 |
About McDonald's
McDonald's is the largest restaurant owner-operator in the world, with 2022 system sales of $116 billion (by our estimates) across more than 40,000 stores and 115 markets. McDonald's pioneered the franchise model, building its footprint through partnerships with independent restaurant franchisees and master franchise partners around the globe. The firm earns nearly 60% of its revenue from franchise royalty fees and lease payments, with most of the remainder coming from company-operated stores across its three core segments: the United States, internationally operated markets, and international developmental/licensed markets.
After a thorough review of the options trading surrounding McDonald's, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Present Market Standing of McDonald's
- With a trading volume of 699,386, the price of MCD is down by -0.68%, reaching $280.18.
- Current RSI values indicate that the stock is may be overbought.
- Next earnings report is scheduled for 62 days from now.
Expert Opinions on McDonald's
Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $310.0.
- An analyst from Wedbush downgraded its action to Outperform with a price target of $310.
- An analyst from DZ Bank upgraded its action to Buy with a price target of $300.
- An analyst from Stephens & Co. persists with their Overweight rating on McDonald's, maintaining a target price of $300.
- An analyst from RBC Capital has revised its rating downward to Outperform, adjusting the price target to $315.
- An analyst from BMO Capital persists with their Outperform rating on McDonald's, maintaining a target price of $325.
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 McDonald's with Benzinga Pro for real-time alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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