Looking At Lowe's Companies's Recent Unusual Options Activity

Investors with significant funds have taken a bullish position in Lowe's Companies LOW, a development that retail traders should be aware of.

This was brought to our attention today through our monitoring of publicly accessible options data at Benzinga. The exact nature of these investors remains a mystery, but such a major move in LOW usually indicates foreknowledge of upcoming events.

Today, Benzinga's options scanner identified 13 options transactions for Lowe's Companies. This is an unusual occurrence. The sentiment among these large-scale traders is mixed, with 61% being bullish and 7% bearish. Of all the options we discovered, 12 are puts, valued at $673,619, and there was a single call, worth $28,375.

What's The Price Target?

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $247.5 to $260.0 for Lowe's Companies over the recent three months.

Volume & Open Interest Trends

In terms of liquidity and interest, the mean open interest for Lowe's Companies options trades today is 865.5 with a total volume of 2,971.00.

In the following chart, we are able to follow the development of volume and open interest of call and put options for Lowe's Companies's big money trades within a strike price range of $247.5 to $260.0 over the last 30 days.

Lowe's Companies Option Volume And Open Interest Over Last 30 Days

Noteworthy Options Activity:

About Lowe's Companies

Lowe's is the second-largest home improvement retailer in the world, operating more than 1,700 stores in the United States, after the 2023 divestiture of its Canadian locations (RONA, Lowe's Canada, Réno-Dépôt, and Dick's Lumber). The firm's stores offer products and services for home decorating, maintenance, repair, and remodeling, with maintenance and repair accounting for two thirds of products sold. Lowe's targets retail do-it-yourself (around 75% of sales) and do-it-for-me customers as well as commercial and professional business clients (around 25% of sales). We estimate Lowe's captures a high-single-digit share of the domestic home improvement market, based on US Census data and management's market size estimates.

In light of the recent options history for Lowe's Companies, it's now appropriate to focus on the company itself. We aim to explore its current performance.

Lowe's Companies's Current Market Status

• With a volume of 522,810, the price of LOW is down -0.4% at $249.5.
• RSI indicators hint that the underlying stock may be approaching overbought.
• Next earnings are expected to be released in 84 days.

Expert Opinions on Lowe's Companies

In the last month, 5 experts released ratings on this stock with an average target price of $265.4.

• An analyst from JP Morgan persists with their Overweight rating on Lowe's Companies, maintaining a target price of $272.
• Consistent in their evaluation, an analyst from Wells Fargo keeps a Overweight rating on Lowe's Companies with a target price of $280.
• An analyst from Telsey Advisory Group has decided to maintain their Market Perform rating on Lowe's Companies, which currently sits at a price target of $230.
• An analyst from JP Morgan has decided to maintain their Overweight rating on Lowe's Companies, which currently sits at a price target of $270.
• Maintaining their stance, an analyst from B of A Securities continues to hold a Buy rating for Lowe's Companies, targeting a price of $275.

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 Lowe's Companies with Benzinga Pro for real-time alerts.