Unpacking the Latest Options Trading Trends in Vale

Investors with a lot of money to spend have taken a bullish stance on Vale VALE.

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 this is an institution or just a wealthy individual, we don't know. But when something this big happens with VALE, it often means somebody knows something is about to happen.

Today, Benzinga's options scanner spotted 13 options trades for Vale.

This isn't normal.

The overall sentiment of these big-money traders is split between 69% bullish and 30%, bearish.

Out of all of the options we uncovered, 12 are puts, for a total amount of $944,252, and there was 1 call, for a total amount of $37,611.

What's The Price Target?

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $12.0 and $17.0 for Vale, spanning the last three months.

Analyzing 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 Vale'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 Vale's whale trades within a strike price range from $12.0 to $17.0 in the last 30 days.

Vale Option Activity Analysis: Last 30 Days

Noteworthy Options Activity:

About Vale

Vale is a large global miner and the world's largest producer of iron ore and pellets. In recent years the company has sold noncore assets such as its fertilizer, coal, and steel operations to concentrate on iron ore, nickel, and copper. Earnings are dominated by the bulk materials division, primarily iron ore and iron ore pellets. The base metals division is much smaller, consisting of nickel mines and smelters along with copper mines producing copper in concentrate. Vale has agreed to sell a minority 13% stake in its base metals business, which is expected to become effective early in 2024, and which is likely the first step in separating base metals and iron ore.

After a thorough review of the options trading surrounding Vale, we move to examine the company in more detail. This includes an assessment of its current market status and performance.

Current Position of Vale

• Currently trading with a volume of 6,973,984, the VALE's price is down by 0.0%, now at $15.06.
• RSI readings suggest the stock is currently may be approaching overbought.
• Anticipated earnings release is in 80 days.

Professional Analyst Ratings for Vale

A total of 4 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $17.875.

• Consistent in their evaluation, an analyst from RBC Capital keeps a Outperform rating on Vale with a target price of $15.
• An analyst from Goldman Sachs upgraded its action to Buy with a price target of $19.
• An analyst from Deutsche Bank has revised its rating downward to Hold, adjusting the price target to $17.
• In a positive move, an analyst from B of A Securities has upgraded their rating to Buy and adjusted the price target to $20.

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 Vale options trades with real-time alerts from Benzinga Pro.