Investors with a lot of money to spend have taken a bullish stance on MercadoLibre MELI.
And retail traders should know.
We noticed this today when the positions 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 MELI, it often means somebody knows something is about to happen.
Today, Benzinga's options scanner spotted 8 options trades for MercadoLibre.
This isn't normal.
The overall sentiment of these big-money traders is split between 62% bullish and 12%, bearish.
Out of all of the options we uncovered, there was 1 put, for a total amount of $90,000, and 7, calls, for a total amount of $397,807.
Projected Price Targets
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $1180.0 to $1890.0 for MercadoLibre over the recent three months.
Analyzing Volume & Open Interest
In terms of liquidity and interest, the mean open interest for MercadoLibre options trades today is 112.17 with a total volume of 18.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for MercadoLibre's big money trades within a strike price range of $1180.0 to $1890.0 over the last 30 days.
MercadoLibre Option Activity Analysis: Last 30 Days
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| MELI | PUT | TRADE | BULLISH | 08/30/24 | $65.0 | $60.0 | $60.0 | $1890.00 | $90.0K | 0 | 0 |
| MELI | CALL | SWEEP | BULLISH | 08/09/24 | $161.7 | $142.5 | $151.0 | $1720.00 | $75.5K | 32 | 5 |
| MELI | CALL | TRADE | BULLISH | 08/30/24 | $724.0 | $713.3 | $724.0 | $1180.00 | $72.4K | 0 | 1 |
| MELI | CALL | TRADE | NEUTRAL | 09/06/24 | $75.7 | $60.7 | $67.0 | $1890.00 | $67.0K | 26 | 10 |
| MELI | CALL | TRADE | BEARISH | 09/27/24 | $102.4 | $99.5 | $99.5 | $1890.00 | $59.7K | 0 | 0 |
About MercadoLibre
MercadoLibre runs the largest e-commerce marketplace in Latin America, with more than 218 million active users and 1 million active sellers across 18 countries stitching into its commerce network or fintech solutions as of the end of 2023. The company operates a host of complementary businesses to its core online shop, with shipping solutions (Mercado Envios), a payment and financing operation (Mercado Pago and Mercado Credito), advertisements (Mercado Clics), classifieds, and a turnkey e-commerce solution (Mercado Shops) rounding out its arsenal. MercadoLibre generates revenue from final value fees, advertising royalties, payment processing, insertion fees, subscription fees, and interest income from consumer and small-business lending.
In light of the recent options history for MercadoLibre, it's now appropriate to focus on the company itself. We aim to explore its current performance.
Present Market Standing of MercadoLibre
- Currently trading with a volume of 3,724, the MELI's price is up by 0.35%, now at $1876.0.
- RSI readings suggest the stock is currently may be approaching overbought.
- Anticipated earnings release is in 82 days.
Expert Opinions on MercadoLibre
In the last month, 4 experts released ratings on this stock with an average target price of $2251.25.
- An analyst from Barclays persists with their Overweight rating on MercadoLibre, maintaining a target price of $2100.
- An analyst from Goldman Sachs persists with their Buy rating on MercadoLibre, maintaining a target price of $2480.
- Consistent in their evaluation, an analyst from BTIG keeps a Buy rating on MercadoLibre with a target price of $2025.
- Maintaining their stance, an analyst from JP Morgan continues to hold a Overweight rating for MercadoLibre, targeting a price of $2400.
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 MercadoLibre with Benzinga Pro for real-time alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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