Shopify's Options: A Look at What the Big Money is Thinking

Author: Benzinga Insights | June 07, 2024 12:33pm

Whales with a lot of money to spend have taken a noticeably bearish stance on Shopify.

Looking at options history for Shopify (NYSE:SHOP) we detected 17 trades.

If we consider the specifics of each trade, it is accurate to state that 35% of the investors opened trades with bullish expectations and 52% with bearish.

From the overall spotted trades, 8 are puts, for a total amount of $714,072 and 9, calls, for a total amount of $509,055.

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 $50.0 to $135.0 for Shopify over the last 3 months.

Analyzing Volume & Open Interest

In today's trading context, the average open interest for options of Shopify stands at 5120.4, with a total volume reaching 5,342.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Shopify, situated within the strike price corridor from $50.0 to $135.0, throughout the last 30 days.

Shopify Option Volume And Open Interest Over Last 30 Days

Noteworthy Options Activity:

Symbol	PUT/CALL	Trade Type	Sentiment	Exp. Date	Ask	Bid	Price	Strike Price	Total Trade Price	Open Interest	Volume
SHOP	CALL	TRADE	BULLISH	10/18/24	$2.63	$2.5	$2.6	$75.00	$200.2K	1.2K	792
SHOP	PUT	TRADE	BEARISH	01/17/25	$75.85	$72.25	$74.41	$135.00	$186.0K	0	25
SHOP	PUT	SWEEP	BEARISH	06/21/24	$8.55	$8.45	$8.53	$70.00	$136.6K	5.0K	168
SHOP	PUT	SWEEP	NEUTRAL	12/20/24	$6.65	$6.55	$6.55	$60.00	$131.0K	897	400
SHOP	PUT	SWEEP	BEARISH	07/19/24	$13.45	$13.35	$13.44	$75.00	$107.5K	1.5K	230

About Shopify

Shopify offers an e-commerce platform primarily to small and medium-size businesses. The firm has two segments. The subscription solutions segment allows Shopify merchants to conduct e-commerce on a variety of platforms, including the company's website, physical stores, pop-up stores, kiosks, social networks (Facebook), and Amazon. The merchant solutions segment offers add-on products for the platform that facilitate e-commerce and include Shopify Payments, Shopify Shipping, and Shopify Capital.

In light of the recent options history for Shopify, it's now appropriate to focus on the company itself. We aim to explore its current performance.

Current Position of Shopify

• Trading volume stands at 2,838,424, with SHOP's price up by 0.46%, positioned at $61.74.
• RSI indicators show the stock to be may be approaching overbought.
• Earnings announcement expected in 54 days.

What The Experts Say On Shopify

In the last month, 5 experts released ratings on this stock with an average target price of $74.2.

• Consistent in their evaluation, an analyst from Canaccord Genuity keeps a Buy rating on Shopify with a target price of $80.
• Maintaining their stance, an analyst from Wells Fargo continues to hold a Overweight rating for Shopify, targeting a price of $75.
• An analyst from Scotiabank persists with their Sector Perform rating on Shopify, maintaining a target price of $75.
• Consistent in their evaluation, an analyst from Goldman Sachs keeps a Neutral rating on Shopify with a target price of $67.
• An analyst from Goldman Sachs has elevated its stance to Buy, setting a new price target at $74.

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 Shopify, Benzinga Pro gives you real-time options trades alerts.

Posted In: SHOP