Investors with a lot of money to spend have taken a bearish stance on KB Home KBH.
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 KBH, 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 8 uncommon options trades for KB Home.
This isn't normal.
The overall sentiment of these big-money traders is split between 37% bullish and 50%, bearish.
Out of all of the special options we uncovered, 2 are puts, for a total amount of $131,010, and 6 are calls, for a total amount of $299,837.
Predicted Price Range
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $70.0 to $80.0 for KB Home over the last 3 months.
Analyzing Volume & Open Interest
In terms of liquidity and interest, the mean open interest for KB Home options trades today is 908.25 with a total volume of 1,727.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for KB Home's big money trades within a strike price range of $70.0 to $80.0 over the last 30 days.
KB Home Option Activity Analysis: Last 30 Days
Significant Options Trades Detected:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| KBH | CALL | SWEEP | BEARISH | 07/19/24 | $12.2 | $11.7 | $11.87 | $70.00 | $88.1K | 1.1K | 0 |
| KBH | CALL | TRADE | BULLISH | 08/16/24 | $4.2 | $4.1 | $4.2 | $80.00 | $73.0K | 1.3K | 300 |
| KBH | PUT | SWEEP | BULLISH | 01/17/25 | $6.9 | $6.6 | $6.6 | $80.00 | $66.0K | 235 | 100 |
| KBH | PUT | TRADE | BULLISH | 01/17/25 | $6.8 | $6.5 | $6.5 | $80.00 | $65.0K | 235 | 0 |
| KBH | CALL | SWEEP | BEARISH | 08/16/24 | $4.3 | $4.2 | $4.22 | $80.00 | $46.4K | 1.3K | 190 |
About KB Home
KB Home is an American construction company that focuses on residential construction in United States. The company builds single-family homes and communities across different geographical segments which include West Coast which also derives the majority of the revenue, Southwest, Central, and Southeast. The company operates in several markets and focuses on first-time and move-up homebuyers. It also invests in land acquisition and development to support future building activities and is also engaged in financial services operations which includes providing mortgage banking services through its joint venture with a third party.
Following our analysis of the options activities associated with KB Home, we pivot to a closer look at the company's own performance.
Where Is KB Home Standing Right Now?
- Trading volume stands at 257,061, with KBH's price down by -0.29%, positioned at $81.89.
- RSI indicators show the stock to be may be overbought.
- Earnings announcement expected in 63 days.
What The Experts Say On KB Home
Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $77.8.
- An analyst from Evercore ISI Group has decided to maintain their Outperform rating on KB Home, which currently sits at a price target of $89.
- Maintaining their stance, an analyst from Wedbush continues to hold a Neutral rating for KB Home, targeting a price of $67.
- Maintaining their stance, an analyst from RBC Capital continues to hold a Sector Perform rating for KB Home, targeting a price of $70.
- An analyst from Keefe, Bruyette & Woods persists with their Market Perform rating on KB Home, maintaining a target price of $77.
- Maintaining their stance, an analyst from Evercore ISI Group continues to hold a Outperform rating for KB Home, targeting a price of $86.
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 KB Home 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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Date of Trade | ticker | Put/Call | Strike Price | DTE | Sentiment |
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