Investors with a lot of money to spend have taken a bearish stance on Merck & Co MRK.
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 MRK, it often means somebody knows something is about to happen.
Today, Benzinga's options scanner spotted 10 options trades for Merck & Co.
This isn't normal.
The overall sentiment of these big-money traders is split between 40% bullish and 60%, bearish.
Out of all of the options we uncovered, there was 1 put, for a total amount of $67,000, and 9, calls, for a total amount of $521,630.
Projected Price Targets
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $85.0 to $110.0 for Merck & Co during the past quarter.
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 Merck & Co's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Merck & Co's significant trades, within a strike price range of $85.0 to $110.0, over the past month.
Merck & Co Call and Put Volume: 30-Day Overview
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| MRK | CALL | SWEEP | BEARISH | 11/01/24 | $9.1 | $9.0 | $9.0 | $100.00 | $144.0K | 50 | 40 |
| MRK | CALL | SWEEP | BULLISH | 01/17/25 | $7.5 | $7.4 | $7.5 | $105.00 | $118.5K | 5.5K | 159 |
| MRK | PUT | TRADE | BULLISH | 04/17/25 | $3.4 | $3.35 | $3.35 | $100.00 | $67.0K | 774 | 206 |
| MRK | CALL | TRADE | BEARISH | 01/16/26 | $14.15 | $14.0 | $14.0 | $105.00 | $56.0K | 1.6K | 40 |
| MRK | CALL | SWEEP | BEARISH | 10/18/24 | $1.6 | $1.55 | $1.55 | $108.00 | $38.7K | 90 | 386 |
About Merck & Co
Merck makes pharmaceutical products to treat several conditions in a number of therapeutic areas, including cardiometabolic disease, cancer, and infections. Within cancer, the firm's immuno-oncology platform is growing as a major contributor to overall sales. The company also has a substantial vaccine business, with treatments to prevent pediatric diseases as well as human papillomavirus, or HPV. Additionally, Merck sells animal health-related drugs. From a geographical perspective, just under half of the company's sales are generated in the United States.
Following our analysis of the options activities associated with Merck & Co, we pivot to a closer look at the company's own performance.
Current Position of Merck & Co
- Trading volume stands at 4,940,616, with MRK's price up by 0.21%, positioned at $109.64.
- RSI indicators show the stock to be may be approaching oversold.
- Earnings announcement expected in 20 days.
Expert Opinions on Merck & Co
A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $143.6.
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. * Consistent in their evaluation, an analyst from UBS keeps a Buy rating on Merck & Co with a target price of $136. * Consistent in their evaluation, an analyst from Barclays keeps a Overweight rating on Merck & Co with a target price of $140. * Reflecting concerns, an analyst from Cantor Fitzgerald lowers its rating to Overweight with a new price target of $155. * In a cautious move, an analyst from Cantor Fitzgerald downgraded its rating to Overweight, setting a price target of $155. * An analyst from Truist Securities persists with their Buy rating on Merck & Co, maintaining a target price of $132.
Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Merck & Co options trades with real-time alerts from Benzinga Pro.
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