Deep-pocketed investors have adopted a bearish approach towards ARM Holdings ARM, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in ARM usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 13 extraordinary options activities for ARM Holdings. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 38% leaning bullish and 46% bearish. Among these notable options, 9 are puts, totaling $644,615, and 4 are calls, amounting to $203,535.
Expected Price Movements
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $90.0 to $120.0 for ARM Holdings during the past quarter.
Analyzing 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 ARM Holdings'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 ARM Holdings's whale activity within a strike price range from $90.0 to $120.0 in the last 30 days.
ARM Holdings 30-Day Option Volume & Interest Snapshot
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ARM | PUT | SWEEP | BULLISH | 05/03/24 | $3.95 | $3.75 | $3.75 | $102.00 | $187.5K | 988 | 818 |
| ARM | CALL | TRADE | BEARISH | 09/20/24 | $14.15 | $14.0 | $14.0 | $100.00 | $116.2K | 327 | 85 |
| ARM | PUT | SWEEP | BEARISH | 05/03/24 | $1.87 | $1.86 | $1.87 | $96.00 | $93.5K | 456 | 1.2K |
| ARM | PUT | SWEEP | BEARISH | 05/03/24 | $1.49 | $1.43 | $1.49 | $96.00 | $74.5K | 456 | 304 |
| ARM | PUT | TRADE | BULLISH | 01/17/25 | $19.1 | $19.0 | $19.0 | $100.00 | $68.4K | 2.5K | 40 |
About ARM Holdings
Arm Holdings is the IP owner and developer of the ARM architecture (ARM stands for Acorn RISC Machine), which is used in 99% of the world's smartphone CPU cores, and it also has high market share in other battery-powered devices like wearables, tablets, or sensors. Arm licenses its architecture for a fee, offering different types of licenses depending on the flexibility the customer needs. Customers like Apple or Qualcomm buy architectural licenses, which allows them to modify the architecture and add or delete instructions to tailor the chips to their specific needs. Other clients directly buy off-the-shelf designs from Arm. Both off-the-shelf and architectural customers pay a royalty fee per chip shipped.
Having examined the options trading patterns of ARM Holdings, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance
Present Market Standing of ARM Holdings
- Currently trading with a volume of 1,710,897, the ARM's price is down by -3.96%, now at $97.2.
- RSI readings suggest the stock is currently may be approaching oversold.
- Anticipated earnings release is in 7 days.
Professional Analyst Ratings for ARM Holdings
Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $119.8.
- An analyst from Susquehanna persists with their Neutral rating on ARM Holdings, maintaining a target price of $85.
- In a cautious move, an analyst from Evercore ISI Group downgraded its rating to Outperform, setting a price target of $156.
- An analyst from Wells Fargo persists with their Overweight rating on ARM Holdings, maintaining a target price of $115.
- Maintaining their stance, an analyst from Keybanc continues to hold a Overweight rating for ARM Holdings, targeting a price of $135.
- An analyst from Goldman Sachs persists with their Buy rating on ARM Holdings, maintaining a target price of $108.
Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest ARM Holdings options trades with real-time alerts from Benzinga Pro.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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