Investors with a lot of money to spend have taken a bearish stance on Sea SE.
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 SE, 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 19 uncommon options trades for Sea.
This isn't normal.
The overall sentiment of these big-money traders is split between 42% bullish and 57%, bearish.
Out of all of the special options we uncovered, 8 are puts, for a total amount of $872,925, and 11 are calls, for a total amount of $720,990.
Expected Price Movements
After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $22.5 and $100.0 for Sea, 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 Sea's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Sea's substantial trades, within a strike price spectrum from $22.5 to $100.0 over the preceding 30 days.
Sea Call and Put Volume: 30-Day Overview
Largest Options Trades Observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| SE | CALL | SWEEP | BULLISH | 04/19/24 | $48.00 | $310.8K | 50 | 1.9K |
| SE | PUT | SWEEP | BEARISH | 06/21/24 | $47.00 | $253.8K | 29 | 360 |
| SE | PUT | SWEEP | BEARISH | 06/21/24 | $48.00 | $166.1K | 13 | 586 |
| SE | PUT | TRADE | BULLISH | 04/19/24 | $55.00 | $154.5K | 0 | 161 |
| SE | PUT | SWEEP | BULLISH | 05/17/24 | $35.00 | $123.7K | 5.3K | 1.1K |
About Sea
Sea operates Southeast Asia's largest e-commerce company, Shopee, in terms of gross merchandise value and number of transactions. Sea started as a gaming business, Garena, but in 2015 expanded into e-commerce, which is now the main growth driver. Shopee is a hybrid C2C and B2C marketplace platform operating in eight core markets. Indonesia accounts for 35% of GMV, with the rest split mainly among Taiwan, Vietnam, Thailand, Malaysia, and the Philippines. For Garena, Free Fire was the most downloaded game in January 2022 and accounted for 74% of gaming revenue in 2021. Sea's third business, SeaMoney, provides mostly credit lending.
After a thorough review of the options trading surrounding Sea, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Sea's Current Market Status
- With a trading volume of 3,073,164, the price of SE is up by 0.9%, reaching $45.77.
- Current RSI values indicate that the stock is may be overbought.
- Next earnings report is scheduled for 6 days from now.
Professional Analyst Ratings for Sea
Over the past month, 1 industry analysts have shared their insights on this stock, proposing an average target price of $50.0.
- An analyst from Citigroup upgraded its action to Buy with a price target of $50.
Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.
If you want to stay updated on the latest options trades for Sea, Benzinga Pro gives you real-time options trades alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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