Behind the Scenes of Merck & Co's Latest Options Trends

Investors with a lot of money to spend have taken a bearish stance on Merck & Co MRK.

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 MRK, 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 14 uncommon options trades for Merck & Co.

This isn't normal.

The overall sentiment of these big-money traders is split between 28% bullish and 71%, bearish.

Out of all of the special options we uncovered, 8 are puts, for a total amount of $669,066, and 6 are calls, for a total amount of $365,912.

Predicted Price Range

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $110.0 to $145.0 for Merck & Co during the past quarter.

Insights into Volume & Open Interest

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

This data can help you track the liquidity and interest for Merck & Co'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 Merck & Co's whale activity within a strike price range from $110.0 to $145.0 in the last 30 days.

Merck & Co 30-Day Option Volume & Interest Snapshot

Largest Options Trades Observed:

About Merck & Co

Merck makes pharmaceutical products to treat several conditions in a number of therapeutic areas, including cardiometabolic disease, cancer, and infections. Within cancer, the firm's immuno-oncology platform is growing as a major contributor to overall sales. The company also has a substantial vaccine business, with treatments to prevent pediatric diseases as well as human papillomavirus, or HPV. Additionally, Merck sells animal health-related drugs. From a geographical perspective, just under half of the company's sales are generated in the United States.

In light of the recent options history for Merck & Co, it's now appropriate to focus on the company itself. We aim to explore its current performance.

Current Position of Merck & Co

• Currently trading with a volume of 800,063, the MRK's price is down by -0.25%, now at $129.13.
• RSI readings suggest the stock is currently may be overbought.
• Anticipated earnings release is in 59 days.

Professional Analyst Ratings for Merck & Co

In the last month, 5 experts released ratings on this stock with an average target price of $139.4.

• Reflecting concerns, an analyst from Cantor Fitzgerald lowers its rating to Overweight with a new price target of $135.
• An analyst from Wells Fargo has decided to maintain their Equal-Weight rating on Merck & Co, which currently sits at a price target of $130.
• Maintaining their stance, an analyst from UBS continues to hold a Buy rating for Merck & Co, targeting a price of $148.
• Consistent in their evaluation, an analyst from Truist Securities keeps a Buy rating on Merck & Co with a target price of $139.
• An analyst from Barclays has decided to maintain their Overweight rating on Merck & Co, which currently sits at a price target of $145.

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 Merck & Co with Benzinga Pro for real-time alerts.