Deep-pocketed investors have adopted a bearish approach towards Wells Fargo (NYSE:WFC), and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in WFC usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 12 extraordinary options activities for Wells Fargo. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 25% leaning bullish and 50% bearish. Among these notable options, 6 are puts, totaling $187,241, and 6 are calls, amounting to $367,290.
Predicted Price Range
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $50.0 to $65.0 for Wells Fargo during the past quarter.
Insights into Volume & Open Interest
Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Wells Fargo's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Wells Fargo's significant trades, within a strike price range of $50.0 to $65.0, over the past month.
Wells Fargo Option Activity Analysis: Last 30 Days
Largest Options Trades Observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| WFC | CALL | SWEEP | BEARISH | 08/16/24 | $2.38 | $2.33 | $2.33 | $60.00 | $102.5K | 13.4K | 29 |
| WFC | CALL | SWEEP | BULLISH | 07/05/24 | $2.48 | $2.47 | $2.47 | $58.00 | $85.3K | 3.1K | 0 |
| WFC | CALL | SWEEP | BEARISH | 01/16/26 | $10.95 | $8.75 | $8.75 | $60.00 | $82.2K | 5.7K | 0 |
| WFC | CALL | SWEEP | BEARISH | 07/12/24 | $1.54 | $1.52 | $1.52 | $60.00 | $43.0K | 679 | 55 |
| WFC | PUT | SWEEP | BEARISH | 09/20/24 | $5.45 | $5.35 | $5.41 | $65.00 | $35.3K | 203 | 233 |
About Wells Fargo
Wells Fargo is one of the largest banks in the United States, with approximately $1.9 trillion in balance sheet assets. The company has four primary segments: consumer banking, commercial banking, corporate and investment banking, and wealth and investment management. It is almost entirely focused on the U.S.
In light of the recent options history for Wells Fargo, it's now appropriate to focus on the company itself. We aim to explore its current performance.
Present Market Standing of Wells Fargo
- With a volume of 2,095,871, the price of WFC is down -0.7% at $60.16.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 10 days.
Expert Opinions on Wells Fargo
A total of 1 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $70.0.
- An analyst from Evercore ISI Group persists with their Outperform rating on Wells Fargo, maintaining a target price of $70.
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.