Benzinga | Dec 27, 2021 11:47AM EST

Looking At Microsoft's Recent Whale Trades

A whale with a lot of money to spend has taken a noticeably bearish stance on Microsoft.

Looking at options history for Microsoft (NASDAQ:MSFT) we detected 25 strange trades.

If we consider the specifics of each trade, it is accurate to state that 44% of the investors opened trades with bullish expectations and 56% with bearish.

From the overall spotted trades, 2 are puts, for a total amount of $137,200 and 23, calls, for a total amount of $1,219,844.

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 $200.0 to $435.0 for Microsoft over the last 3 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 Microsoft'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 Microsoft's whale trades within a strike price range from $200.0 to $435.0 in the last 30 days.

Microsoft Option Volume And Open Interest Over Last 30 Days

Biggest Options Spotted:

Symbol PUT/ Trade Sentiment Exp. Strike Total Trade Open Volume CALL Type Date Price Price InterestMSFT CALL SWEEP BULLISH 12/31/ $342.50 $148.6K 3.7K 4.9K 21MSFT CALL SWEEP BULLISH 01/20/ $380.00 $140.3K 1.2K 60 23MSFT CALL TRADE BEARISH 03/18/ $200.00 $136.0K 1.2K 10 22MSFT PUT TRADE BULLISH 06/16/ $435.00 $107.9K 5.7K 52 23MSFT CALL TRADE BEARISH 03/18/ $250.00 $91.3K 3.3K 12 22

Where Is Microsoft Standing Right Now?

* With a volume of 6,348,945, the price of MSFT is up 1.77% at $340.61.

* RSI indicators hint that the underlying stock may be approaching overbought.

* Next earnings are expected to be released in 29 days.

What The Experts Say On Microsoft:

* SMBC Nikko downgraded its action to Outperform with a price target of $410

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.

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