A Closer Look at IBM's Options Market Dynamics

Deep-pocketed investors have adopted a bearish approach towards IBM IBM, 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 IBM usually suggests something big is about to happen.

We gleaned this information from our observations today when Benzinga's options scanner highlighted 20 extraordinary options activities for IBM. This level of activity is out of the ordinary.

The general mood among these heavyweight investors is divided, with 45% leaning bullish and 50% bearish. Among these notable options, 7 are puts, totaling $312,219, and 13 are calls, amounting to $655,846.

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 $190.0 to $275.0 for IBM during the past quarter.

Volume & Open Interest Trends

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 IBM'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 IBM's whale trades within a strike price range from $190.0 to $275.0 in the last 30 days.

IBM Option Volume And Open Interest Over Last 30 Days

Biggest Options Spotted:

About IBM

IBM looks to be a part of every aspect of an enterprise's IT needs. The company primarily sells software, IT services, consulting, and hardware. IBM operates in 175 countries and employs approximately 350,000 people. The company has a robust roster of 80,000 business partners to service 5,200 clients, which includes 95% of all Fortune 500. While IBM is a B2B company, IBM's outward impact is substantial. For example, IBM manages 90% of all credit card transactions globally and is responsible for 50% of all wireless connections in the world.

Following our analysis of the options activities associated with IBM, we pivot to a closer look at the company's own performance.

Current Position of IBM

• Currently trading with a volume of 1,329,054, the IBM's price is up by 0.12%, now at $232.52.
• RSI readings suggest the stock is currently may be approaching overbought.
• Anticipated earnings release is in 0 days.

Professional Analyst Ratings for IBM

A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $241.6.

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. * An analyst from Goldman Sachs persists with their Buy rating on IBM, maintaining a target price of $250. * An analyst from Morgan Stanley has decided to maintain their Equal-Weight rating on IBM, which currently sits at a price target of $217. * Maintaining their stance, an analyst from Jefferies continues to hold a Hold rating for IBM, targeting a price of $245. * An analyst from Stifel persists with their Buy rating on IBM, maintaining a target price of $246. * An analyst from RBC Capital has decided to maintain their Outperform rating on IBM, which currently sits at a price target of $250.

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 IBM options trades with real-time alerts from Benzinga Pro.