Smart Money Is Betting Big In SHOP Options

Financial giants have made a conspicuous bearish move on Shopify. Our analysis of options history for Shopify SHOP revealed 29 unusual trades.

Delving into the details, we found 44% of traders were bullish, while 55% showed bearish tendencies. Out of all the trades we spotted, 5 were puts, with a value of $611,913, and 24 were calls, valued at $1,061,870.

Projected Price Targets

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $45.0 to $90.0 for Shopify over the recent three months.

Analyzing Volume & Open Interest

In terms of liquidity and interest, the mean open interest for Shopify options trades today is 2612.28 with a total volume of 13,795.00.

In the following chart, we are able to follow the development of volume and open interest of call and put options for Shopify's big money trades within a strike price range of $45.0 to $90.0 over the last 30 days.

Shopify 30-Day Option Volume & Interest Snapshot

Largest Options Trades Observed:

About Shopify

Shopify offers an e-commerce platform primarily to small and medium-size businesses. The firm has two segments. The subscription solutions segment allows Shopify merchants to conduct e-commerce on a variety of platforms, including the company's website, physical stores, pop-up stores, kiosks, social networks (Facebook), and Amazon. The merchant solutions segment offers add-on products for the platform that facilitate e-commerce and include Shopify Payments, Shopify Shipping, and Shopify Capital.

Having examined the options trading patterns of Shopify, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance

Current Position of Shopify

• Currently trading with a volume of 5,184,602, the SHOP's price is down by -0.48%, now at $80.28.
• RSI readings suggest the stock is currently may be approaching overbought.
• Anticipated earnings release is in 77 days.

Expert Opinions on Shopify

A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $84.6.

• In a cautious move, an analyst from RBC Capital downgraded its rating to Outperform, setting a price target of $100.
• Consistent in their evaluation, an analyst from Mizuho keeps a Neutral rating on Shopify with a target price of $75.
• An analyst from Wells Fargo persists with their Overweight rating on Shopify, maintaining a target price of $85.
• Maintaining their stance, an analyst from Piper Sandler continues to hold a Underweight rating for Shopify, targeting a price of $63.
• An analyst from RBC Capital has revised its rating downward to Outperform, adjusting the price target to $100.

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 Shopify with Benzinga Pro for real-time alerts.