Investors with a lot of money to spend have taken a bearish stance on Mastercard MA.
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 MA, 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 16 uncommon options trades for Mastercard.
This isn't normal.
The overall sentiment of these big-money traders is split between 37% bullish and 62%, bearish.
Out of all of the special options we uncovered, 3 are puts, for a total amount of $100,290, and 13 are calls, for a total amount of $1,152,818.
Expected Price Movements
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $195.0 to $450.0 for Mastercard over the recent three months.
Insights into Volume & Open Interest
Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Mastercard's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Mastercard's significant trades, within a strike price range of $195.0 to $450.0, over the past month.
Mastercard Option Activity Analysis: Last 30 Days
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| MA | CALL | SWEEP | BEARISH | 01/16/26 | $430.00 | $380.8K | 63 | 55 |
| MA | CALL | TRADE | BEARISH | 01/17/25 | $320.00 | $127.0K | 17 | 10 |
| MA | CALL | TRADE | BULLISH | 06/21/24 | $310.00 | $125.7K | 24 | 10 |
| MA | CALL | TRADE | BEARISH | 01/19/24 | $400.00 | $86.4K | 7.2K | 16 |
| MA | CALL | TRADE | BULLISH | 01/26/24 | $430.00 | $81.9K | 135 | 295 |
About Mastercard
Mastercard is the second-largest payment processor in the world, having processed close to over $8 trillion in transactions during 2022. Mastercard operates in over 200 countries and processes transactions in over 150 currencies.
After a thorough review of the options trading surrounding Mastercard, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Mastercard's Current Market Status
- With a volume of 844,659, the price of MA is up 0.71% at $427.36.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 28 days.
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 Mastercard with Benzinga Pro for real-time alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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