Looking At PENN Entertainment's Recent Unusual Options Activity

Investors with a lot of money to spend have taken a bearish stance on PENN Entertainment PENN.

And retail traders should know.

We noticed this today when the trades 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 PENN, it often means somebody knows something is about to happen.

So how do we know what these investors just did?

Today, Benzinga's options scanner spotted 8 uncommon options trades for PENN Entertainment.

This isn't normal.

The overall sentiment of these big-money traders is split between 37% bullish and 50%, bearish.

Out of all of the special options we uncovered, 5 are puts, for a total amount of $414,027, and 3 are calls, for a total amount of $102,120.

Expected Price Movements

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $17.5 to $25.0 for PENN Entertainment during the past quarter.

Volume & Open Interest Trends

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in PENN Entertainment's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to PENN Entertainment's substantial trades, within a strike price spectrum from $17.5 to $25.0 over the preceding 30 days.

PENN Entertainment 30-Day Option Volume & Interest Snapshot

Noteworthy Options Activity:

About PENN Entertainment

Penn Entertainment's origins date back to its 1972 racetrack opening in Pennsylvania. Today, Penn operates 43 properties across 20 states and 12 brands, including Hollywood Casino and Ameristar. Land-based casinos represented 89% of total sales in 2023; 11% was from the interactive segment, which includes sports, iGaming, and media revenue. The retail portfolio generates mid-30s EBITDAR margins and helps position the company to obtain licenses for the digital wagering markets. Additionally, Penn's media assets, theScore and ESPN (starting with its partnership launch in November 2023), provide access to sports betting/iGaming technology and clientele, helping it form a leading digital position.

Present Market Standing of PENN Entertainment

• With a trading volume of 3,203,819, the price of PENN is down by -2.84%, reaching $19.51.
• Current RSI values indicate that the stock is may be approaching overbought.
• Next earnings report is scheduled for 38 days from now.

Expert Opinions on PENN Entertainment

Over the past month, 1 industry analysts have shared their insights on this stock, proposing an average target price of $20.0.

Turn $1000 into $1270 in just 20 days?

20-year pro options trader reveals his one-line chart technique that shows when to buy and sell. Copy his trades, which have had averaged a 27% profit every 20 days. Click here for access. * An analyst from Morgan Stanley has decided to maintain their Equal-Weight rating on PENN Entertainment, which currently sits at a price target of $20.

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 PENN Entertainment, Benzinga Pro gives you real-time options trades alerts.