Decoding Walmart's Options Activity: What's the Big Picture?

Investors with a lot of money to spend have taken a bearish stance on Walmart WMT.

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 WMT, 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 8 uncommon options trades for Walmart.

This isn't normal.

The overall sentiment of these big-money traders is split between 25% bullish and 50%, bearish.

Out of all of the special options we uncovered, 2 are puts, for a total amount of $93,440, and 6 are calls, for a total amount of $281,464.

Expected Price Movements

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $70.0 to $140.0 for Walmart during the past quarter.

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 Walmart's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Walmart's significant trades, within a strike price range of $70.0 to $140.0, over the past month.

Walmart 30-Day Option Volume & Interest Snapshot

Biggest Options Spotted:

About Walmart

Walmart serves as the preeminent retailer in the United States, with its strategy predicated on superior operating efficiency and offering the lowest priced goods to consumers to drive robust store traffic and product turnover. Walmart augmented its low-price business strategy by offering a convenient one-stop shopping destination with the opening of its first supercenter in 1988.Today, Walmart operates over 4,600 stores in the United States (5,200 including Sam's Club) and over 10,000 locations globally. Walmart generated over $440 billion in domestic namesake sales in fiscal 2024, with Sam's Club contributing another $86 billion to the company's top line. Internationally, Walmart generated $115 billion in sales. The retailer serves around 240 million customers globally each week.

After a thorough review of the options trading surrounding Walmart, we move to examine the company in more detail. This includes an assessment of its current market status and performance.

Where Is Walmart Standing Right Now?

• Currently trading with a volume of 364,928, the WMT's price is up by 0.7%, now at $95.62.
• RSI readings suggest the stock is currently may be overbought.
• Anticipated earnings release is in 68 days.

Professional Analyst Ratings for Walmart

Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $98.4.

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 RBC Capital has decided to maintain their Outperform rating on Walmart, which currently sits at a price target of $96. * Maintaining their stance, an analyst from Guggenheim continues to hold a Buy rating for Walmart, targeting a price of $100. * An analyst from TD Cowen has decided to maintain their Buy rating on Walmart, which currently sits at a price target of $100. * An analyst from Keybanc persists with their Overweight rating on Walmart, maintaining a target price of $100. * An analyst from Wells Fargo persists with their Overweight rating on Walmart, maintaining a target price of $96.

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 Walmart with Benzinga Pro for real-time alerts.