Decoding Snap's Options Activity: What's the Big Picture?

Investors with a lot of money to spend have taken a bullish stance on Snap SNAP.

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 SNAP, 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 Snap.

This isn't normal.

The overall sentiment of these big-money traders is split between 60% bullish and 40%, bearish.

Out of all of the special options we uncovered, 3 are puts, for a total amount of $96,032, and 7 are calls, for a total amount of $406,735.

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 $15.0 and $22.0 for Snap, spanning the last three months.

Volume & Open Interest Trends

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Snap's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Snap's substantial trades, within a strike price spectrum from $15.0 to $22.0 over the preceding 30 days.

Snap Call and Put Volume: 30-Day Overview

Largest Options Trades Observed:

About Snap

Snap, which refers to itself as a camera company, has one of the most popular social networking apps, Snapchat, in developed regions such as North America and Europe. Snap generates nearly all its revenue from advertising with 70% coming from North America. The firm is headquartered in Venice, California.

Following our analysis of the options activities associated with Snap, we pivot to a closer look at the company's own performance.

Snap's Current Market Status

• With a volume of 5,243,459, the price of SNAP is up 1.33% at $17.16.
• RSI indicators hint that the underlying stock may be overbought.
• Next earnings are expected to be released in 46 days.

What The Experts Say On Snap

2 market experts have recently issued ratings for this stock, with a consensus target price of $19.0.

• Showing optimism, an analyst from Wells Fargo upgrades its rating to Overweight with a revised price target of $22.
• In a positive move, an analyst from Jefferies has upgraded their rating to Buy and adjusted the price target to $16.

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