A Closer Look at Snap's Options Market Dynamics

Author: Benzinga Insights | September 09, 2024 03:15pm

Whales with a lot of money to spend have taken a noticeably bullish stance on Snap.

Looking at options history for Snap (NYSE:SNAP) we detected 13 trades.

If we consider the specifics of each trade, it is accurate to state that 53% of the investors opened trades with bullish expectations and 46% with bearish.

From the overall spotted trades, 10 are puts, for a total amount of $1,698,787 and 3, calls, for a total amount of $140,775.

What's The Price Target?

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $5.0 and $8.0 for Snap, spanning the last three months.

Volume & Open Interest Development

Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for Snap'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 Snap's whale trades within a strike price range from $5.0 to $8.0 in the last 30 days.

Snap Call and Put Volume: 30-Day Overview

Largest Options Trades Observed:

Symbol	PUT/CALL	Trade Type	Sentiment	Exp. Date	Ask	Bid	Price	Strike Price	Total Trade Price	Open Interest	Volume
SNAP	PUT	SWEEP	BEARISH	12/20/24	$0.91	$0.89	$0.91	$8.00	$364.0K	8.1K	16.0K
SNAP	PUT	TRADE	BEARISH	12/20/24	$0.89	$0.84	$0.88	$8.00	$318.3K	8.1K	4.0K
SNAP	PUT	SWEEP	BEARISH	12/20/24	$0.88	$0.87	$0.88	$8.00	$303.8K	8.1K	7.4K
SNAP	PUT	SWEEP	BULLISH	11/15/24	$0.19	$0.16	$0.17	$6.00	$226.8K	406	13.1K
SNAP	PUT	SWEEP	BULLISH	11/15/24	$0.18	$0.17	$0.17	$6.00	$160.2K	406	29.4K

About Snap

Snap owns one of the most popular social networking apps, Snapchat, claiming more than 400 million daily active users as of the end of 2023. Snap generates nearly all its revenue from advertising. While only about one quarter of users are in North America, the region accounts for about 65% of sales.

Having examined the options trading patterns of Snap, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance

Where Is Snap Standing Right Now?

• With a volume of 16,783,265, the price of SNAP is down -1.68% at $8.47.
• RSI indicators hint that the underlying stock may be approaching oversold.
• Next earnings are expected to be released in 43 days.

Expert Opinions on Snap

A total of 2 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $9.5.

• In a cautious move, an analyst from Cantor Fitzgerald downgraded its rating to Neutral, setting a price target of $8.
• Consistent in their evaluation, an analyst from Citigroup keeps a Neutral rating on Snap with a target price of $11.

Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for Snap with Benzinga Pro for real-time alerts.

Posted In: SNAP