Benzinga | Jan 27, 2022 02:06PM EST

What Are Whales Doing With CVS Health

Someone with a lot of money to spend has taken a bearish stance on CVS Health (NYSE:CVS).

And retail traders should know.

We noticed this today when the big position showed up on publicly available options history that we track here at Benzinga.

Whether this is an institution or just a wealthy individual, we don't know. But when something this big happens with CVS, it often means somebody knows something is about to happen.

So how do we know what this whale just did?

Today, Benzinga's options scanner spotted 10 uncommon options trades for CVS Health.

This isn't normal.

The overall sentiment of these big-money traders is split between 20% bullish and 80%, bearish.

Out of all of the special options we uncovered, 2 are puts, for a total amount of $159,810, and 8 are calls, for a total amount of $554,145.

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 $77.5 to $115.0 for CVS Health over the last 3 months.

Volume & Open Interest Development

In terms of liquidity and interest, the mean open interest for CVS Health options trades today is 2714.71 with a total volume of 3,377.00.

In the following chart, we are able to follow the development of volume and open interest of call and put options for CVS Health's big money trades within a strike price range of $77.5 to $115.0 over the last 30 days.

CVS Health 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 InterestCVS CALL SWEEP BULLISH 06/17/ $105.00 $160.6K 3.0K 460 22CVS PUT SWEEP BEARISH 03/18/ $105.00 $130.9K 2.8K 597 22CVS CALL TRADE NEUTRAL 06/17/ $90.00 $94.7K 5.9K 50 22CVS CALL TRADE BULLISH 06/17/ $105.00 $80.0K 3.0K 460 22CVS CALL SWEEP NEUTRAL 06/17/ $115.00 $66.9K 674 707 22

Where Is CVS Health Standing Right Now?

* With a volume of 7,539,977, the price of CVS is up 1.12% at $106.03.

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

* Next earnings are expected to be released in 13 days.

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 are already an options trader or would like to get started, head on over to Benzinga Pro. Benzinga Pro gives you up-to-date news and analytics to empower your investing and trading strategy.