Deep-pocketed investors have adopted a bearish approach towards Home Depot HD, 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 HD 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 Home Depot. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 15% leaning bullish and 76% bearish. Among these notable options, 3 are puts, totaling $188,816, and 10 are calls, amounting to $561,012.
What's The Price Target?
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $350.0 to $400.0 for Home Depot over the last 3 months.
Analyzing Volume & Open Interest
Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Home Depot's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Home Depot's significant trades, within a strike price range of $350.0 to $400.0, over the past month.
Home Depot Call and Put Volume: 30-Day Overview
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| HD | CALL | SWEEP | BULLISH | 01/16/26 | $33.25 | $32.9 | $33.25 | $380.00 | $252.6K | 1.0K | 18 |
| HD | PUT | TRADE | BEARISH | 08/16/24 | $20.95 | $20.8 | $20.95 | $370.00 | $77.5K | 220 | 64 |
| HD | PUT | SWEEP | BEARISH | 09/20/24 | $19.05 | $18.95 | $18.95 | $365.00 | $75.8K | 720 | 56 |
| HD | CALL | TRADE | BULLISH | 06/20/25 | $17.0 | $16.65 | $16.97 | $400.00 | $59.3K | 874 | 55 |
| HD | CALL | SWEEP | BEARISH | 08/02/24 | $3.55 | $3.35 | $3.35 | $360.00 | $46.9K | 602 | 436 |
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 US, 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 Interline Brands in 2015 allowed Home Depot to enter the MRO business, which has been expanded through the tie-up with HD Supply (2020). The additions of the Company Store brought textiles to the lineup, and Redi Carpet added multifamily flooring, while the recent tie-up with SRS helps grow professional demand.
Following our analysis of the options activities associated with Home Depot, we pivot to a closer look at the company's own performance.
Current Position of Home Depot
- Trading volume stands at 2,210,716, with HD's price down by -2.57%, positioned at $350.37.
- RSI indicators show the stock to be may be approaching overbought.
- Earnings announcement expected in 20 days.
Professional Analyst Ratings for Home Depot
Over the past month, 2 industry analysts have shared their insights on this stock, proposing an average target price of $387.5.
- An analyst from Stifel has decided to maintain their Hold rating on Home Depot, which currently sits at a price target of $380.
- An analyst from DA Davidson upgraded its action to Buy with a price target of $395.
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 Home Depot 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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