Bank of America's Options: A Look at What the Big Money is Thinking

Investors with a lot of money to spend have taken a bullish stance on Bank of America BAC.

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 BAC, 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 8 uncommon options trades for Bank of America.

This isn't normal.

The overall sentiment of these big-money traders is split between 75% bullish and 25%, bearish.

Out of all of the special options we uncovered, 2 are puts, for a total amount of $60,800, and 6 are calls, for a total amount of $325,853.

Predicted Price Range

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $25.0 to $35.0 for Bank of America during the past quarter.

Volume & Open Interest Development

Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Bank of America's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Bank of America's significant trades, within a strike price range of $25.0 to $35.0, over the past month.

Bank of America Call and Put Volume: 30-Day Overview

Biggest Options Spotted:

About Bank of America

Bank of America is one of the largest financial institutions in the United States, with more than $2.5 trillion in assets. It is organized into four major segments: consumer banking, global wealth and investment management, global banking, and global markets. Bank of America's consumer-facing lines of business include its network of branches and deposit-gathering operations, retail lending products, credit and debit cards, and small-business services. The company's Merrill Lynch operations provide brokerage and wealth-management services, as does its private bank. Wholesale lines of business include investment banking, corporate and commercial real estate lending, and capital markets operations. Bank of America has operations in several countries but is primarily U.S.-focused.

In light of the recent options history for Bank of America, it's now appropriate to focus on the company itself. We aim to explore its current performance.

Current Position of Bank of America

• Currently trading with a volume of 2,378,349, the BAC's price is down by -1.21%, now at $33.02.
• RSI readings suggest the stock is currently may be overbought.
• Anticipated earnings release is in 24 days.

Expert Opinions on Bank of America

In the last month, 2 experts released ratings on this stock with an average target price of $35.47.

• Showing optimism, an analyst from Odeon Capital upgrades its rating to Buy with a revised price target of $37.
• Consistent in their evaluation, an analyst from Goldman Sachs keeps a Buy rating on Bank of America with a target price of $33.

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 Bank of America options trades with real-time alerts from Benzinga Pro.