27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
Investors with a lot of money to spend have taken a bearish stance on Lam Research (NASDAQ:LRCX).
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 LRCX, 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 11 uncommon options trades for Lam Research.
This isn't normal.
The overall sentiment of these big-money traders is split between 36% bullish and 63%, bearish.
Out of all of the special options we uncovered, 4 are puts, for a total amount of $325,005, and 7 are calls, for a total amount of $370,315.
What's The Price Target?
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $550.0 to $780.0 for Lam Research during the past quarter.
Analyzing 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 Lam Research's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Lam Research's significant trades, within a strike price range of $550.0 to $780.0, over the past month.
Lam Research Call and Put Volume: 30-Day Overview
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| LRCX | PUT | SWEEP | NEUTRAL | 01/17/25 | $700.00 | $166.0K | 110 | 25 |
| LRCX | CALL | SWEEP | BEARISH | 12/15/23 | $550.00 | $132.0K | 21 | 8 |
| LRCX | CALL | TRADE | BEARISH | 01/19/24 | $720.00 | $80.6K | 387 | 5 |
| LRCX | PUT | SWEEP | BULLISH | 01/17/25 | $760.00 | $65.0K | 25 | 22 |
| LRCX | PUT | SWEEP | BULLISH | 01/17/25 | $760.00 | $64.5K | 25 | 12 |
About Lam Research
Lam Research is one of the largest semiconductor wafer fabrication equipment, or WFE, manufacturers in the world. It specializes in the market segments of deposition and etch, which entail the buildup of layers on a semiconductor and the subsequent selective removal of patterns from each layer. Lam holds the top market share in etch and holds the clear cut second share in deposition. It is more exposed to memory chipmakers for DRAM and NAND chips. It counts as top customers the largest chipmakers in the world, including TSMC, Samsung, Intel, and Micron.
Having examined the options trading patterns of Lam Research, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance
Where Is Lam Research Standing Right Now?
- Trading volume stands at 125,889, with LRCX's price up by 0.8%, positioned at $723.27.
- RSI indicators show the stock to be may be overbought.
- Earnings announcement expected in 58 days.
Professional Analyst Ratings for Lam Research
In the last month, 1 experts released ratings on this stock with an average target price of $800.0.
- Reflecting concerns, an analyst from Redburn Atlantic lowers its rating to Buy with a new price target of $800.
Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Lam Research options trades with real-time alerts from Benzinga Pro.
27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
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