Someone with a lot of money to spend has taken a bearish stance on Wayfair (NYSE:W).
And retail traders should know.
We noticed this today when the big position showed up on publicly available options history that we track here at Benzinga.
Whether this is an institution or just a wealthy individual, we don't know. But when something this big happens with W, it often means somebody knows something is about to happen.
So how do we know what this whale just did?
Today, Benzinga's options scanner spotted 37 uncommon options trades for Wayfair.
This isn't normal.
The overall sentiment of these big-money traders is split between 43% bullish and 56%, bearish.
Out of all of the special options we uncovered, 29 are puts, for a total amount of $4,444,312, and 8 are calls, for a total amount of $454,732.
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 $55.0 to $145.0 for Wayfair over the last 3 months.
Volume & Open Interest Development
In terms of liquidity and interest, the mean open interest for Wayfair options trades today is 681.04 with a total volume of 11,336.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for Wayfair's big money trades within a strike price range of $55.0 to $145.0 over the last 30 days.
Wayfair 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 |
|---|---|---|---|---|---|---|---|---|
| W | PUT | TRADE | NEUTRAL | 06/17/22 | $90.00 | $1.3M | 111 | 970 |
| W | PUT | TRADE | NEUTRAL | 06/17/22 | $90.00 | $492.4K | 111 | 1.3K |
| W | PUT | SWEEP | BEARISH | 08/19/22 | $75.00 | $443.5K | 500 | 522 |
| W | PUT | SWEEP | NEUTRAL | 05/20/22 | $135.00 | $191.6K | 1.3K | 56 |
| W | PUT | TRADE | BEARISH | 01/19/24 | $100.00 | $190.0K | 110 | 52 |
Where Is Wayfair Standing Right Now?
- With a volume of 5,043,311, the price of W is down -8.02% at $85.28.
- RSI indicators hint that the underlying stock may be approaching oversold.
- Next earnings are expected to be released in 13 days.
What The Experts Say On Wayfair:
- Morgan Stanley has decided to maintain their Underweight rating on Wayfair, which currently sits at a price target of $90.
- Needham has decided to maintain their Buy rating on Wayfair, which currently sits at a price target of $150.
- Wells Fargo downgraded its action to Underweight with a price target of $100
- Loop Capital downgraded its action to Sell with a price target of $90
- Barclays downgraded its action to Underweight with a price target of $103
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 {d[company_name]}, Benzinga Progives you real-time options trades alerts.
