Looking At Home Depot's Recent Unusual Options Activity

High-rolling investors have positioned themselves bearish on Home Depot HD, and it's important for retail traders to take note. \This activity came to our attention today through Benzinga's tracking of publicly available options data. The identities of these investors are uncertain, but such a significant move in HD often signals that someone has privileged information.

Today, Benzinga's options scanner spotted 8 options trades for Home Depot. This is not a typical pattern.

The sentiment among these major traders is split, with 37% bullish and 62% bearish. Among all the options we identified, there was one put, amounting to $212,100, and 7 calls, totaling $268,547.

What's The Price Target?

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $280.0 to $410.0 for Home Depot over the recent three months.

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 Home Depot'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 Home Depot's whale activity within a strike price range from $280.0 to $410.0 in the last 30 days.

Home Depot Call and Put Volume: 30-Day Overview

Biggest Options Spotted:

About Home Depot

Home Depot is the world's largest home improvement specialty retailer, operating more than 2,300 warehouse-format stores offering more than 30,000 products in store and 1 million products online in the United States, Canada, and Mexico. Its stores offer numerous building materials, home improvement products, lawn and garden products, and decor products and provide various services, including home improvement installation services and tool and equipment rentals. The acquisition of distributor Interline Brands in 2015 allowed Home Depot to enter the maintenance, repair, and operations business, which has been expanded through the tie-up with HD Supply (2020). Moreover, the additions of the Company Store brought textile exposure to the lineup, while Redi Carpet added multifamily flooring.

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

Present Market Standing of Home Depot

• Trading volume stands at 893,607, with HD's price down by -0.96%, positioned at $391.4.
• RSI indicators show the stock to be may be approaching overbought.
• Earnings announcement expected in 53 days.

What The Experts Say On Home Depot

In the last month, 3 experts released ratings on this stock with an average target price of $410.6666666666667.

• Maintaining their stance, an analyst from RBC Capital continues to hold a Sector Perform rating for Home Depot, targeting a price of $377.
• An analyst from Mizuho downgraded its action to Buy with a price target of $415.
• An analyst from TD Cowen has decided to maintain their Outperform rating on Home Depot, which currently sits at a price target of $440.

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 Home Depot with Benzinga Pro for real-time alerts.