Investors with a lot of money to spend have taken a bearish stance on Arista Networks (NYSE:ANET).
And retail traders should know.
We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.
Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with ANET, it often means somebody knows something is about to happen.
So how do we know what these investors just did?
Today, Benzinga's options scanner spotted 13 uncommon options trades for Arista Networks.
This isn't normal.
The overall sentiment of these big-money traders is split between 23% bullish and 61%, bearish.
Out of all of the special options we uncovered, 6 are puts, for a total amount of $238,820, and 7 are calls, for a total amount of $636,183.
Predicted Price Range
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $245.0 to $380.0 for Arista Networks over the last 3 months.
Volume & Open Interest Trends
In terms of liquidity and interest, the mean open interest for Arista Networks options trades today is 311.09 with a total volume of 319.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for Arista Networks's big money trades within a strike price range of $245.0 to $380.0 over the last 30 days.
Arista Networks Option Activity Analysis: Last 30 Days
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ANET | CALL | SWEEP | BULLISH | 06/28/24 | $85.7 | $82.4 | $84.94 | $245.00 | $212.3K | 0 | 25 |
| ANET | CALL | SWEEP | NEUTRAL | 06/28/24 | $86.1 | $83.3 | $84.5 | $245.00 | $211.0K | 0 | 0 |
| ANET | CALL | TRADE | BULLISH | 06/21/24 | $19.9 | $17.5 | $18.96 | $310.00 | $75.8K | 837 | 4 |
| ANET | PUT | SWEEP | BEARISH | 07/19/24 | $2.85 | $2.6 | $2.85 | $300.00 | $57.0K | 888 | 3 |
| ANET | PUT | SWEEP | BEARISH | 07/05/24 | $14.6 | $13.5 | $13.5 | $342.50 | $54.0K | 44 | 0 |
About Arista Networks
Arista Networks is a networking equipment provider that primarily sells Ethernet switches and software to data centers. Its marquee product is its extensible operating system, or EOS, that runs a single image across every single one of its devices. The firm operates as one reportable segment. It has steadily gained market share since its founding in 2004, with a focus on high-speed applications. Arista counts Microsoft and Meta Platforms as its largest customers and derives roughly three quarters of its sales from North America.
After a thorough review of the options trading surrounding Arista Networks, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Where Is Arista Networks Standing Right Now?
- With a trading volume of 615,836, the price of ANET is down by -2.51%, reaching $331.66.
- Current RSI values indicate that the stock is may be approaching overbought.
- Next earnings report is scheduled for 38 days from now.
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.