Snowflake's Options: A Look at What the Big Money is Thinking

Investors with a lot of money to spend have taken a bullish stance on Snowflake SNOW.

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 SNOW, 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 Snowflake.

This isn't normal.

The overall sentiment of these big-money traders is split between 75% bullish and 25%, bearish.

Out of all of the special options we uncovered, 6 are puts, for a total amount of $443,580, and 10 are calls, for a total amount of $564,998.

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 $130.0 and $240.0 for Snowflake, spanning the last three months.

Analyzing Volume & Open Interest

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Snowflake's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Snowflake's substantial trades, within a strike price spectrum from $130.0 to $240.0 over the preceding 30 days.

Snowflake Option Volume And Open Interest Over Last 30 Days

Significant Options Trades Detected:

About Snowflake

Founded in 2012, Snowflake is a data lake, warehousing, and sharing company that came public in 2020. To date, the company has over 3,000 customers, including nearly 30% of the Fortune 500 as its customers. Snowflake's data lake stores unstructured and semistructured data that can then be used in analytics to create insights stored in its data warehouse. Snowflake's data sharing capability allows enterprises to easily buy and ingest data almost instantaneously compared with a traditionally months-long process. Overall, the company is known for the fact that all of its data solutions that can be hosted on various public clouds.

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

Snowflake's Current Market Status

• With a volume of 1,697,054, the price of SNOW is down -0.06% at $198.45.
• RSI indicators hint that the underlying stock may be overbought.
• Next earnings are expected to be released in 63 days.

What Analysts Are Saying About Snowflake

5 market experts have recently issued ratings for this stock, with a consensus target price of $210.2.

• An analyst from JP Morgan has decided to maintain their Overweight rating on Snowflake, which currently sits at a price target of $200.
• An analyst from Needham persists with their Buy rating on Snowflake, maintaining a target price of $225.
• Consistent in their evaluation, an analyst from Mizuho keeps a Buy rating on Snowflake with a target price of $210.
• Consistent in their evaluation, an analyst from Scotiabank keeps a Sector Outperform rating on Snowflake with a target price of $226.
• Consistent in their evaluation, an analyst from Raymond James keeps a Outperform rating on Snowflake with a target price of $190.

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 Snowflake with Benzinga Pro for real-time alerts.