Investors with a lot of money to spend have taken a bullish stance on Reddit RDDT.
And retail traders should know.
We noticed this today when the positions 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 RDDT, it often means somebody knows something is about to happen.
Today, Benzinga's options scanner spotted 9 options trades for Reddit.
This isn't normal.
The overall sentiment of these big-money traders is split between 77% bullish and 22%, bearish.
Out of all of the options we uncovered, there was 1 put, for a total amount of $55,160, and 8, calls, for a total amount of $471,233.
What's The Price Target?
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $60.0 to $95.0 for Reddit over the last 3 months.
Analyzing Volume & Open Interest
Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Reddit's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Reddit's significant trades, within a strike price range of $60.0 to $95.0, over the past month.
Reddit 30-Day Option Volume & Interest Snapshot
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| RDDT | CALL | SWEEP | BULLISH | 10/04/24 | $4.45 | $4.4 | $4.45 | $65.00 | $111.2K | 626 | 521 |
| RDDT | CALL | TRADE | BULLISH | 10/04/24 | $4.3 | $4.2 | $4.3 | $65.00 | $86.0K | 626 | 207 |
| RDDT | CALL | SWEEP | BULLISH | 09/27/24 | $1.15 | $1.13 | $1.13 | $69.00 | $63.4K | 277 | 668 |
| RDDT | CALL | SWEEP | BULLISH | 04/17/25 | $11.9 | $11.0 | $11.15 | $72.50 | $55.7K | 0 | 52 |
| RDDT | PUT | SWEEP | BULLISH | 04/17/25 | $10.0 | $9.85 | $9.85 | $65.00 | $55.1K | 16 | 57 |
About Reddit
Reddit Inc is engaged in providing internet content. The company provides online services that include gaming, sports, business, crypto, television and others.
Having examined the options trading patterns of Reddit, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance
Current Position of Reddit
- Currently trading with a volume of 3,501,681, the RDDT's price is down by -0.3%, now at $66.76.
- RSI readings suggest the stock is currently may be overbought.
- Anticipated earnings release is in 61 days.
What Analysts Are Saying About Reddit
A total of 2 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $75.0.
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. * Reflecting concerns, an analyst from B. Riley Securities lowers its rating to Buy with a new price target of $75. * An analyst from Needham downgraded its action to Buy with a price target of $75.
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 Reddit, 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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