Whales with a lot of money to spend have taken a noticeably bearish stance on Costco Wholesale.
Looking at options history for Costco Wholesale COST we detected 8 trades.
If we consider the specifics of each trade, it is accurate to state that 25% of the investors opened trades with bullish expectations and 37% with bearish.
From the overall spotted trades, 2 are puts, for a total amount of $52,700 and 6, calls, for a total amount of $226,498.
What's The Price Target?
After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $645.0 and $900.0 for Costco Wholesale, spanning the last three months.
Volume & Open Interest Trends
In today's trading context, the average open interest for options of Costco Wholesale stands at 457.33, with a total volume reaching 1,231.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Costco Wholesale, situated within the strike price corridor from $645.0 to $900.0, throughout the last 30 days.
Costco Wholesale 30-Day Option Volume & Interest Snapshot
Largest Options Trades Observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| COST | CALL | SWEEP | NEUTRAL | 09/06/24 | $7.8 | $6.8 | $6.8 | $900.00 | $70.7K | 502 | 108 |
| COST | CALL | TRADE | BEARISH | 01/17/25 | $81.7 | $75.8 | $77.42 | $860.00 | $38.7K | 104 | 5 |
| COST | CALL | TRADE | BULLISH | 01/17/25 | $58.8 | $55.65 | $58.8 | $895.00 | $35.2K | 130 | 2 |
| COST | CALL | SWEEP | BEARISH | 08/30/24 | $1.49 | $1.43 | $1.43 | $900.00 | $28.2K | 1.2K | 227 |
| COST | PUT | TRADE | BEARISH | 09/06/24 | $11.0 | $10.3 | $11.0 | $897.50 | $27.5K | 4 | 29 |
About Costco Wholesale
Costco operates a membership-based, no-frills retail model, predicated on offering a select product assortment in bulk quantities at bargain prices. The firm avoids maintaining costly product displays by keeping inventory on pallets and limits distribution expenses by storing its inventory at point of sale in the warehouse. Given Costco's frugal cost structure, the firm is able to price its merchandise below competing retailers, driving high sales volume per warehouse and allowing the retailer to generate strong profits on thin margins. Costco operates over 600 warehouses in the United States and enjoys over 60% market share in the domestic warehouse club industry. Internationally, Costco operates another 270 warehouses, primarily in markets such as Canada, Mexico, Japan, and the UK.
After a thorough review of the options trading surrounding Costco Wholesale, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Current Position of Costco Wholesale
- Currently trading with a volume of 126,554, the COST's price is up by 0.18%, now at $888.25.
- RSI readings suggest the stock is currently may be approaching overbought.
- Anticipated earnings release is in 27 days.
Professional Analyst Ratings for Costco Wholesale
Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $928.0.
- Consistent in their evaluation, an analyst from BMO Capital keeps a Outperform rating on Costco Wholesale with a target price of $950.
- An analyst from Telsey Advisory Group persists with their Outperform rating on Costco Wholesale, maintaining a target price of $925.
- An analyst from Telsey Advisory Group persists with their Outperform rating on Costco Wholesale, maintaining a target price of $925.
- An analyst from Oppenheimer has decided to maintain their Outperform rating on Costco Wholesale, which currently sits at a price target of $925.
- An analyst from Evercore ISI Group has decided to maintain their Outperform rating on Costco Wholesale, which currently sits at a price target of $915.
Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.
If you want to stay updated on the latest options trades for Costco Wholesale, Benzinga Pro gives you real-time options trades alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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