A whale with a lot of money to spend has taken a noticeably bearish stance on McDonald's.
Looking at options history for McDonald's (NYSE:MCD) we detected 13 strange trades.
If we consider the specifics of each trade, it is accurate to state that 30% of the investors opened trades with bullish expectations and 69% with bearish.
From the overall spotted trades, 6 are puts, for a total amount of $295,366 and 7, calls, for a total amount of $386,476.
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 $190.0 to $280.0 for McDonald's over the last 3 months.
Volume & Open Interest Development
In terms of liquidity and interest, the mean open interest for McDonald's options trades today is 359.88 with a total volume of 1,280.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for McDonald's's big money trades within a strike price range of $190.0 to $280.0 over the last 30 days.
McDonald's 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 |
|---|---|---|---|---|---|---|---|---|
| MCD | CALL | SWEEP | BEARISH | 12/16/22 | $280.00 | $94.0K | 595 | 668 |
| MCD | PUT | SWEEP | BEARISH | 01/19/24 | $260.00 | $92.8K | 435 | 1 |
| MCD | PUT | TRADE | BEARISH | 01/19/24 | $250.00 | $75.9K | 418 | 36 |
| MCD | CALL | SWEEP | NEUTRAL | 01/19/24 | $260.00 | $71.0K | 631 | 45 |
| MCD | CALL | SWEEP | BULLISH | 12/16/22 | $280.00 | $63.2K | 595 | 178 |
Where Is McDonald's Standing Right Now?
- With a volume of 581,359, the price of MCD is up 0.49% at $260.17.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 90 days.
What The Experts Say On McDonald's:
- Citigroup has decided to maintain their Neutral rating on McDonald's, which currently sits at a price target of $275.
- Cowen & Co. has decided to maintain their Outperform rating on McDonald's, which currently sits at a price target of $290.
- BMO Capital has decided to maintain their Outperform rating on McDonald's, which currently sits at a price target of $285.
- Keybanc has decided to maintain their Overweight rating on McDonald's, which currently sits at a price target of $290.
- Deutsche Bank has decided to maintain their Buy rating on McDonald's, which currently sits at a price target of $263.
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 McDonald's, Benzinga Pro gives you real-time options trades alerts.
