Investors with a lot of money to spend have taken a bearish stance on Eaton Corp ETN.
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 ETN, 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 12 uncommon options trades for Eaton Corp.
This isn't normal.
The overall sentiment of these big-money traders is split between 33% bullish and 50%, bearish.
Out of all of the special options we uncovered, 4 are puts, for a total amount of $181,040, and 8 are calls, for a total amount of $519,776.
What's The Price Target?
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $300.0 to $370.0 for Eaton Corp during the past quarter.
Volume & Open Interest Development
Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for Eaton Corp's options for a given strike price. Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Eaton Corp's whale trades within a strike price range from $300.0 to $370.0 in the last 30 days.
Eaton Corp Call and Put Volume: 30-Day Overview
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ETN | CALL | SWEEP | BULLISH | 01/17/25 | $13.3 | $12.8 | $13.12 | $350.00 | $112.0K | 1.4K | 90 |
| ETN | CALL | SWEEP | BULLISH | 01/17/25 | $22.3 | $21.8 | $22.12 | $330.00 | $110.9K | 1.0K | 94 |
| ETN | CALL | TRADE | BEARISH | 10/18/24 | $4.4 | $4.2 | $4.2 | $340.00 | $105.0K | 1.4K | 614 |
| ETN | PUT | TRADE | BEARISH | 11/15/24 | $4.9 | $4.6 | $4.9 | $300.00 | $85.2K | 755 | 245 |
| ETN | CALL | SWEEP | NEUTRAL | 10/18/24 | $14.3 | $14.0 | $14.15 | $320.00 | $55.2K | 1.4K | 44 |
About Eaton Corp
Founded in 1911 by Joseph Eaton, the eponymous company began by selling truck axles in New Jersey. Eaton has since become an industrial powerhouse largely through acquisitions in various end markets. Eaton's portfolio can broadly be divided into two parts: its electrical and industrial businesses. Its electrical portfolio (representing around 70% of company revenue) sells components within data centers, utilities, and commercial and residential buildings, while its industrial business (30% of revenue) sells components within commercial and passenger vehicles and aircraft. Eaton receives favorable tax treatment as a domiciliary of Ireland, but it generates over half of its revenue within the US.
After a thorough review of the options trading surrounding Eaton Corp, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Current Position of Eaton Corp
- With a volume of 1,963,327, the price of ETN is down -0.73% at $327.39.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 35 days.
Unusual Options Activity Detected: Smart Money on the Move
Benzinga Edge's Unusual Options board spots potential market movers before they happen. See what positions big money is taking on your favorite stocks. Click here for access.
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 Eaton Corp with Benzinga Pro for real-time alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
