High-rolling investors have positioned themselves bullish on Caterpillar CAT, 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 CAT often signals that someone has privileged information.
Today, Benzinga's options scanner spotted 10 options trades for Caterpillar. This is not a typical pattern.
The sentiment among these major traders is split, with 50% bullish and 40% bearish. Among all the options we identified, there was one put, amounting to $28,410, and 9 calls, totaling $5,745,464.
Expected Price Movements
After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $320.0 and $370.0 for Caterpillar, spanning the last three months.
Analyzing Volume & Open Interest
In terms of liquidity and interest, the mean open interest for Caterpillar options trades today is 1015.2 with a total volume of 4,522.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for Caterpillar's big money trades within a strike price range of $320.0 to $370.0 over the last 30 days.
Caterpillar Option Activity Analysis: Last 30 Days
Largest Options Trades Observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| CAT | CALL | TRADE | BEARISH | 09/20/24 | $17.35 | $16.55 | $16.75 | $330.00 | $5.1M | 5.2K | 3.1K |
| CAT | CALL | SWEEP | BULLISH | 10/25/24 | $23.65 | $23.65 | $23.65 | $325.00 | $246.1K | 5 | 104 |
| CAT | CALL | SWEEP | BEARISH | 10/18/24 | $2.84 | $2.82 | $2.83 | $370.00 | $74.7K | 1.5K | 830 |
| CAT | CALL | TRADE | NEUTRAL | 09/13/24 | $7.9 | $6.9 | $7.4 | $337.50 | $74.0K | 699 | 134 |
| CAT | CALL | SWEEP | BULLISH | 11/15/24 | $11.2 | $11.1 | $11.2 | $360.00 | $38.0K | 1.0K | 70 |
About Caterpillar
Caterpillar is the top manufacturer of heavy equipment, power solutions, and locomotives. It is currently the world's largest manufacturer of heavy equipment. The company is divided into four reportable segments: construction industries, resource industries, energy and transportation, and Cat Financial. Its products are available through a dealer network that covers the globe with about 2,700 branches maintained by 160 dealers. Cat Financial provides retail financing for machinery and engines to its customers, in addition to wholesale financing for dealers, which increases the likelihood of Caterpillar product sales.
After a thorough review of the options trading surrounding Caterpillar, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Present Market Standing of Caterpillar
- With a trading volume of 1,419,170, the price of CAT is up by 0.47%, reaching $341.19.
- Current RSI values indicate that the stock is may be approaching overbought.
- Next earnings report is scheduled for 46 days from now.
Expert Opinions on Caterpillar
A total of 1 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $321.0.
- Consistent in their evaluation, an analyst from Evercore ISI Group keeps a In-Line rating on Caterpillar with a target price of $321.
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 Caterpillar, 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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