A whale with a lot of money to spend has taken a noticeably bearish stance on Broadcom.
Looking at options history for Broadcom (NASDAQ:AVGO) we detected 32 strange trades.
If we consider the specifics of each trade, it is accurate to state that 40% of the investors opened trades with bullish expectations and 59% with bearish.
From the overall spotted trades, 11 are puts, for a total amount of $685,496 and 21, calls, for a total amount of $1,447,639.
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 $480.0 to $730.0 for Broadcom over the last 3 months.
Volume & Open Interest Development
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 Broadcom'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 Broadcom's whale trades within a strike price range from $480.0 to $730.0 in the last 30 days.
Broadcom Option Volume And Open Interest Over Last 30 Days
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| AVGO | CALL | SWEEP | BULLISH | 01/19/24 | $500.00 | $309.0K | 461 | 27 |
| AVGO | PUT | TRADE | BEARISH | 01/20/23 | $500.00 | $278.0K | 1.6K | 100 |
| AVGO | CALL | TRADE | NEUTRAL | 05/20/22 | $600.00 | $120.0K | 199 | 30 |
| AVGO | CALL | TRADE | BEARISH | 05/20/22 | $600.00 | $115.2K | 199 | 55 |
| AVGO | CALL | TRADE | BEARISH | 07/15/22 | $610.00 | $109.7K | 207 | 83 |
Where Is Broadcom Standing Right Now?
- With a volume of 665,229, the price of AVGO is down -0.56% at $622.94.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 69 days.
What The Experts Say On Broadcom:
- Keybanc has decided to maintain their Overweight rating on Broadcom, which currently sits at a price target of $720.
- Rosenblatt has decided to maintain their Buy rating on Broadcom, which currently sits at a price target of $775.
- JP Morgan has decided to maintain their Overweight rating on Broadcom, which currently sits at a price target of $715.
- Morgan Stanley has decided to maintain their Overweight rating on Broadcom, which currently sits at a price target of $703.
- Truist Securities has decided to maintain their Buy rating on Broadcom, which currently sits at a price target of $686.
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.
