Amazon.com's Options Frenzy: What You Need to Know

Author: Benzinga Insights | July 02, 2024 10:02am

High-rolling investors have positioned themselves bullish on Amazon.com (NASDAQ:AMZN), and it's important for retail traders to take note. \This activity came to our attention today through Benzinga's tracking of publicly available options data. The identities of these investors are uncertain, but such a significant move in AMZN often signals that someone has privileged information.

Today, Benzinga's options scanner spotted 16 options trades for Amazon.com. This is not a typical pattern.

The sentiment among these major traders is split, with 56% bullish and 12% bearish. Among all the options we identified, there was one put, amounting to $270,690, and 15 calls, totaling $1,009,044.

Projected Price Targets

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $180.0 to $220.0 for Amazon.com during the past quarter.

Analyzing Volume & Open Interest

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

This data can help you track the liquidity and interest for Amazon.com'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 Amazon.com's whale activity within a strike price range from $180.0 to $220.0 in the last 30 days.

Amazon.com Option Volume And Open Interest Over Last 30 Days

Options Call Chart

Biggest Options Spotted:

Symbol	PUT/CALL	Trade Type	Sentiment	Exp. Date	Ask	Bid	Price	Strike Price	Total Trade Price	Open Interest	Volume
AMZN	CALL	SWEEP	BULLISH	08/16/24	$5.5	$5.45	$5.5	$210.00	$275.0K	29.5K	1.2K
AMZN	PUT	SWEEP	BULLISH	10/18/24	$27.6	$26.8	$26.8	$220.00	$270.6K	8	0
AMZN	CALL	TRADE	NEUTRAL	03/21/25	$34.8	$34.5	$34.65	$180.00	$173.2K	3.5K	1
AMZN	CALL	SWEEP	BULLISH	07/05/24	$1.57	$1.56	$1.56	$197.50	$90.4K	11.8K	4.2K
AMZN	CALL	SWEEP	NEUTRAL	08/16/24	$7.35	$7.15	$7.27	$205.00	$67.5K	22.5K	123

About Amazon.com

Amazon is the leading online retailer and marketplace for third party sellers. Retail related revenue represents approximately 75% of total, followed by Amazon Web Services' cloud computing, storage, database, and other offerings (15%), advertising services (5% to 10%), and other the remainder. International segments constitute 25% to 30% of Amazon's non-AWS sales, led by Germany, the United Kingdom, and Japan.

Where Is Amazon.com Standing Right Now?

With a volume of 4,425,357, the price of AMZN is down -0.01% at $197.18.
RSI indicators hint that the underlying stock is currently neutral between overbought and oversold.
Next earnings are expected to be released in 30 days.

Expert Opinions on Amazon.com

Over the past month, 4 industry analysts have shared their insights on this stock, proposing an average target price of $219.25.

Maintaining their stance, an analyst from B of A Securities continues to hold a Buy rating for Amazon.com, targeting a price of $220.
In a cautious move, an analyst from Needham downgraded its rating to Buy, setting a price target of $205.
An analyst from Baird has decided to maintain their Outperform rating on Amazon.com, which currently sits at a price target of $213.
An analyst from Wells Fargo persists with their Overweight rating on Amazon.com, maintaining a target price of $239.

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

Posted In: AMZN