Deep-pocketed investors have adopted a bearish approach towards ServiceNow NOW, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in NOW usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 25 extraordinary options activities for ServiceNow. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 16% leaning bullish and 64% bearish. Among these notable options, 2 are puts, totaling $130,720, and 23 are calls, amounting to $3,984,544.
Expected Price Movements
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $580.0 to $1000.0 for ServiceNow over the last 3 months.
Volume & Open Interest Trends
Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for ServiceNow's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across ServiceNow's significant trades, within a strike price range of $580.0 to $1000.0, over the past month.
ServiceNow 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 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| NOW | CALL | TRADE | BEARISH | 11/15/24 | $359.6 | $349.1 | $353.27 | $580.00 | $2.0M | 86 | 85 |
| NOW | CALL | SWEEP | BEARISH | 11/15/24 | $355.0 | $348.7 | $355.0 | $580.00 | $603.5K | 86 | 27 |
| NOW | CALL | TRADE | NEUTRAL | 11/15/24 | $360.6 | $348.7 | $355.0 | $580.00 | $213.0K | 86 | 6 |
| NOW | CALL | TRADE | BEARISH | 01/17/25 | $251.6 | $250.7 | $250.7 | $700.00 | $175.4K | 87 | 7 |
| NOW | CALL | TRADE | BEARISH | 11/15/24 | $360.6 | $355.0 | $355.0 | $580.00 | $142.0K | 86 | 10 |
About ServiceNow
ServiceNow Inc provides software solutions to structure and automate various business processes via a SaaS delivery model. The company primarily focuses on the IT function for enterprise customers. ServiceNow began with IT service management, expanded within the IT function, and more recently directed its workflow automation logic to functional areas beyond IT, notably customer service, HR service delivery, and security operations. ServiceNow also offers an application development platform as a service.
After a thorough review of the options trading surrounding ServiceNow, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
ServiceNow's Current Market Status
- Trading volume stands at 641,314, with NOW's price down by -1.79%, positioned at $927.81.
- RSI indicators show the stock to be may be approaching overbought.
- Earnings announcement expected in 8 days.
Expert Opinions on ServiceNow
Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $1007.0.
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. * An analyst from BMO Capital has decided to maintain their Outperform rating on ServiceNow, which currently sits at a price target of $1025. * An analyst from UBS persists with their Buy rating on ServiceNow, maintaining a target price of $1055. * Consistent in their evaluation, an analyst from Evercore ISI Group keeps a Outperform rating on ServiceNow with a target price of $950. * An analyst from Wells Fargo persists with their Overweight rating on ServiceNow, maintaining a target price of $1025. * An analyst from Barclays has decided to maintain their Overweight rating on ServiceNow, which currently sits at a price target of $980.
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 ServiceNow, 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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