Investors with a lot of money to spend have taken a bullish stance on MBIA MBI.
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 MBI, 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 MBIA.
This isn't normal.
The overall sentiment of these big-money traders is split between 50% bullish and 50%, bearish.
Out of all of the special options we uncovered, 7 are puts, for a total amount of $353,467, and 3 are calls, for a total amount of $1,388,700.
Projected Price Targets
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $1.0 to $14.0 for MBIA over the last 3 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 MBIA'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 MBIA's whale trades within a strike price range from $1.0 to $14.0 in the last 30 days.
MBIA 30-Day Option Volume & Interest Snapshot
Largest Options Trades Observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| MBI | CALL | TRADE | BULLISH | 01/19/24 | $8.00 | $1.2M | 187 | 2.2K |
| MBI | PUT | SWEEP | BULLISH | 01/19/24 | $13.00 | $88.2K | 1.3K | 2.6K |
| MBI | CALL | TRADE | NEUTRAL | 01/19/24 | $1.00 | $64.0K | 90 | 70 |
| MBI | PUT | TRADE | BEARISH | 01/19/24 | $14.00 | $62.5K | 768 | 0 |
| MBI | PUT | TRADE | BULLISH | 01/19/24 | $14.00 | $55.0K | 768 | 1.8K |
About MBIA
MBIA Inc provides financial guaranty insurance for municipal bonds and asset-backed securities in the United States and internationally. It offers an unconditional guarantee to repay the principal and interest on these securities if the issuer defaults. MBIA insures bonds sold in the primary and secondary markets, as well as those held in unit investment trusts and by mutual funds. It operates in three segments: the United States public finance insurance, corporate, and international & structured finance insurance. U.S. public finance insurance portfolio is managed through National Public Finance Guarantee Corporation. International & structured finance insurance business is managed through MBIA Insurance Corporation and its subsidiary.
Present Market Standing of MBIA
- Currently trading with a volume of 1,247,107, the MBI's price is down by -0.36%, now at $13.75.
- RSI readings suggest the stock is currently may be overbought.
- Anticipated earnings release is in 77 days.
Expert Opinions on MBIA
In the last month, 2 experts released ratings on this stock with an average target price of $12.0.
- In a cautious move, an analyst from Roth MKM downgraded its rating to Neutral, setting a price target of $15.
- An analyst from Keefe, Bruyette & Woods has decided to maintain their Market Perform rating on MBIA, which currently sits at a price target of $9.
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 MBIA with Benzinga Pro for real-time alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Date of Trade | ticker | Put/Call | Strike Price | DTE | Sentiment |
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