Investors with a lot of money to spend have taken a bullish stance on DexCom DXCM.
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 DXCM, 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 DexCom.
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, 6 are puts, for a total amount of $322,067, and 4 are calls, for a total amount of $793,367.
Expected Price Movements
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $95.0 to $127.0 for DexCom over the recent three months.
Volume & Open Interest Development
In terms of liquidity and interest, the mean open interest for DexCom options trades today is 154.88 with a total volume of 2,083.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for DexCom's big money trades within a strike price range of $95.0 to $127.0 over the last 30 days.
DexCom Option Activity Analysis: Last 30 Days
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| DXCM | CALL | TRADE | BULLISH | 05/17/24 | $95.00 | $694.0K | 200 | 200 |
| DXCM | PUT | SWEEP | BEARISH | 01/12/24 | $126.00 | $124.0K | 1 | 0 |
| DXCM | PUT | SWEEP | BEARISH | 01/12/24 | $121.00 | $56.9K | 102 | 226 |
| DXCM | PUT | SWEEP | BEARISH | 01/12/24 | $123.00 | $46.9K | 64 | 269 |
| DXCM | CALL | SWEEP | BULLISH | 01/12/24 | $124.00 | $39.5K | 115 | 111 |
About DexCom
Dexcom designs and commercializes continuous glucose monitoring systems for diabetic patients. CGM systems serve as an alternative to the traditional blood glucose meter process, and the company is evolving its CGM systems to provide integration with insulin pumps from Insulet and Tandem for automatic insulin delivery.
Following our analysis of the options activities associated with DexCom, we pivot to a closer look at the company's own performance.
DexCom's Current Market Status
- Trading volume stands at 994,788, with DXCM's price down by -0.44%, positioned at $123.55.
- RSI indicators show the stock to be may be approaching overbought.
- Earnings announcement expected in 37 days.
Professional Analyst Ratings for DexCom
Over the past month, 3 industry analysts have shared their insights on this stock, proposing an average target price of $136.0.
- Maintaining their stance, an analyst from Wells Fargo continues to hold a Overweight rating for DexCom, targeting a price of $136.
- Maintaining their stance, an analyst from Piper Sandler continues to hold a Overweight rating for DexCom, targeting a price of $150.
- Consistent in their evaluation, an analyst from Morgan Stanley keeps a Equal-Weight rating on DexCom with a target price of $122.
Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.
If you want to stay updated on the latest options trades for DexCom, Benzinga Pro gives you real-time options trades alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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