High-rolling investors have positioned themselves bullish on McDonald's MCD, 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 MCD often signals that someone has privileged information.
Today, Benzinga's options scanner spotted 25 options trades for McDonald's. This is not a typical pattern.
The sentiment among these major traders is split, with 56% bullish and 40% bearish. Among all the options we identified, there was one put, amounting to $27,784, and 24 calls, totaling $1,520,655.
Predicted Price Range
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $135.0 to $265.0 for McDonald's over the recent three months.
Volume & Open Interest Development
Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for McDonald's'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 McDonald's's whale trades within a strike price range from $135.0 to $265.0 in the last 30 days.
McDonald's 30-Day Option Volume & Interest Snapshot
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| MCD | CALL | SWEEP | BEARISH | 08/16/24 | $8.55 | $8.5 | $8.5 | $260.00 | $312.8K | 2.0K | 1.2K |
| MCD | CALL | SWEEP | BEARISH | 08/16/24 | $8.0 | $7.95 | $7.95 | $260.00 | $160.6K | 2.0K | 701 |
| MCD | CALL | SWEEP | BEARISH | 08/16/24 | $7.8 | $7.7 | $7.75 | $260.00 | $103.0K | 2.0K | 903 |
| MCD | CALL | TRADE | BULLISH | 01/16/26 | $36.9 | $36.8 | $36.9 | $250.00 | $81.1K | 279 | 22 |
| MCD | CALL | TRADE | BEARISH | 01/17/25 | $47.5 | $46.1 | $46.25 | $220.00 | $74.0K | 56 | 0 |
About McDonald's
McDonald's is the largest restaurant owner-operator in the world, with 2023 system sales of $130 billion across nearly than 42,000 stores and 115 markets. McDonald's pioneered the franchise model, building its footprint through partnerships with independent restaurant franchisees and master franchise partners around the globe. The firm earns roughly 60% of its revenue from franchise royalty fees and lease payments, with most of the remainder coming from company-operated stores across its three core segments: the United States, internationally operated markets, and international developmental/licensed markets.
Having examined the options trading patterns of McDonald's, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance
McDonald's's Current Market Status
- With a volume of 2,122,892, the price of MCD is down -1.15% at $258.0.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 11 days.
What Analysts Are Saying About McDonald's
In the last month, 5 experts released ratings on this stock with an average target price of $292.0.
- An analyst from TD Cowen persists with their Buy rating on McDonald's, maintaining a target price of $285.
- An analyst from Guggenheim has decided to maintain their Buy rating on McDonald's, which currently sits at a price target of $280.
- Maintaining their stance, an analyst from Morgan Stanley continues to hold a Overweight rating for McDonald's, targeting a price of $300.
- An analyst from Truist Securities has decided to maintain their Buy rating on McDonald's, which currently sits at a price target of $300.
- An analyst from Deutsche Bank persists with their Buy rating on McDonald's, maintaining a target price of $295.
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 McDonald's 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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