A surge in trading activity has been observed in Tesla’s options, with a significant number of bearish bets being placed by investors with substantial capital.
Background
This development was noticed through the analysis of publicly available options history data. The identities of these investors, whether institutions or individual traders, are unknown. However, such significant activity often indicates that these investors may be anticipating an upcoming event that could impact Tesla’s stock price.
Unusual Options Trades
On a particular day, a notable 537 unconventional options trades were spotted for Tesla. This is not a typical occurrence, and it suggests that big-money traders are taking a keen interest in the company’s stock.
Breakdown of Trades
- Total Trades: 537
- Bullish Trades: 37% (131 puts, totaling $7,119,197)
- Bearish Trades: 46% (406 calls, totaling $32,601,577)
Predicted Price Range
Analysis of volume and open interest in these contracts indicates that major players are expecting Tesla’s price to fall within a range of $300.0 to $800.0 over the past quarter.
Volume and Open Interest Analysis
Examining the volume and open interest of calls and puts for specific strike prices offers valuable insights into the liquidity and interest in Tesla’s options. Observing the evolution of these metrics over the last 30 days, within the strike price range of $300.0 to $800.0, provides a clearer picture of market sentiment.
Largest Options Trades
The following table outlines some of the largest options trades observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| TSLA | CALL | SWEEP | BEARISH | 01/10/25 | $8.0 | $7.9 | $7.96 | $420.00 | $246.8K | 10.6K | 32.4K |
| TSLA | CALL | SWEEP | BEARISH | 01/10/25 | $10.25 | $10.05 | $10.17 | $417.50 | $156.9K | 2.0K | 6.1K |
| TSLA | CALL | SWEEP | BEARISH | 01/17/25 | $64.05 | $63.95 | $64.0 | $350.00 | $153.6K | 25.8K | 8.5K |
| TSLA | CALL | SWEEP | BULLISH | 01/10/25 | $8.5 | $8.35 | $8.5 | $420.00 | $131.7K | 10.6K | 33.9K |
| TSLA | PUT | TRADE | BULLISH | 01/10/25 | $11.35 | $11.15 | $11.2 | $412.50 | $112.0K | 756 | 4.6K |
About Tesla
Tesla is a leading electric vehicle manufacturer and developer of autonomous driving software. The company offers a range of vehicles, from luxury sedans to semi-trucks, and is also involved in the production of solar panels and energy storage products.
Current Market Status
- Volume: 21,310,146
- Price: $417.89, up 1.82%
- RSI: Indicates the stock may be approaching overbought levels
- Next Earnings: Expected in 23 days
Analyst Insights
A total of 5 professional analysts have provided their assessments of Tesla in the last 30 days, with an average price target of $307.172. Notable analyst actions include:
- Deutsche Bank: Maintaining a Buy rating with a target price of $370
- Truist Securities: Maintaining a Hold rating with a target price of $351
- Mizuho: Upgrading to Outperform with a revised target price of $515
- GLJ Research: Lowering the rating to Sell with a new target price of $24
- Evercore ISI Group: Maintaining an In-Line rating with a target price of $275
Conclusion
Options trading involves higher risks and potential rewards. Staying informed about the latest market movements and adjusting strategies accordingly is key to managing these risks. As Tesla continues to be a focal point of interest in the automotive and tech sectors, monitoring its options trades and market analysis will provide valuable insights into potential future developments.