Whales with a lot of money to spend have taken a noticeably bearish stance on Caterpillar.
Looking at options history for Caterpillar CAT we detected 8 trades.
If we consider the specifics of each trade, it is accurate to state that 12% of the investors opened trades with bullish expectations and 87% with bearish.
From the overall spotted trades, 6 are puts, for a total amount of $284,442 and 2, calls, for a total amount of $65,655.
Predicted Price Range
After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $250.0 and $300.0 for Caterpillar, spanning the last three months.
Analyzing 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 Caterpillar's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Caterpillar's significant trades, within a strike price range of $250.0 to $300.0, over the past month.
Caterpillar Call and Put Volume: 30-Day Overview
Largest Options Trades Observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| CAT | PUT | TRADE | BEARISH | 01/19/24 | $297.50 | $55.0K | 447 | 0 |
| CAT | PUT | TRADE | BEARISH | 01/12/24 | $285.00 | $53.2K | 296 | 217 |
| CAT | PUT | SWEEP | BEARISH | 03/15/24 | $300.00 | $48.9K | 709 | 83 |
| CAT | PUT | TRADE | NEUTRAL | 06/21/24 | $280.00 | $48.8K | 556 | 35 |
| CAT | PUT | SWEEP | NEUTRAL | 03/15/24 | $300.00 | $47.3K | 709 | 25 |
About Caterpillar
Caterpillar is the premier manufacturer of heavy equipment, power solutions, and locomotives. It is currently the world's largest manufacturer of heavy equipment with over 13% market share in 2021. The company is divided into four reportable segments: construction industries, resource industries, energy and transportation, and Caterpillar Financial Services. Its products are available through a dealer network that covers the globe with about 2,700 branches maintained by 160 dealers. Caterpillar Financial Services provides retail financing for machinery and engines to its customers, in addition to wholesale financing for dealers, which increases the likelihood of Caterpillar product sales.
After a thorough review of the options trading surrounding Caterpillar, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Where Is Caterpillar Standing Right Now?
- Currently trading with a volume of 473,644, the CAT's price is up by 0.03%, now at $289.02.
- RSI readings suggest the stock is currently may be overbought.
- Anticipated earnings release is in 22 days.
What The Experts Say On Caterpillar
Over the past month, 2 industry analysts have shared their insights on this stock, proposing an average target price of $269.0.
- An analyst from Bernstein has decided to maintain their Market Perform rating on Caterpillar, which currently sits at a price target of $245.
- Maintaining their stance, an analyst from Stifel continues to hold a Buy rating for Caterpillar, targeting a price of $293.
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 Caterpillar options trades with real-time alerts from Benzinga Pro.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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