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 bullish 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 12 uncommon options trades for Lam Research.
This isn't normal.
The overall sentiment of these big-money traders is split between 50% bullish and 50%, bearish.
Out of all of the special options we uncovered, 5 are puts, for a total amount of $241,760, and 7 are calls, for a total amount of $449,370.
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 $700.0 to $1020.0 for Lam Research during the past quarter.
Insights into Volume & Open Interest
Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Lam Research's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Lam Research's substantial trades, within a strike price spectrum from $700.0 to $1020.0 over the preceding 30 days.
Lam Research 30-Day Option Volume & Interest Snapshot
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| LRCX | CALL | TRADE | BEARISH | 12/20/24 | $152.65 | $148.85 | $148.85 | $960.00 | $119.0K | 22 | 8 |
| LRCX | PUT | SWEEP | BEARISH | 04/05/24 | $5.8 | $5.4 | $5.8 | $980.00 | $100.9K | 67 | 221 |
| LRCX | CALL | SWEEP | BULLISH | 06/21/24 | $66.45 | $66.4 | $66.45 | $995.00 | $93.0K | 5 | 24 |
| LRCX | CALL | SWEEP | BULLISH | 04/05/24 | $2.81 | $2.31 | $2.6 | $1020.00 | $66.0K | 397 | 487 |
| LRCX | CALL | TRADE | BULLISH | 07/19/24 | $315.0 | $303.85 | $314.0 | $700.00 | $62.8K | 15 | 0 |
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.
Current Position of Lam Research
- Trading volume stands at 219,387, with LRCX's price up by 1.6%, positioned at $994.01.
- RSI indicators show the stock to be is currently neutral between overbought and oversold.
- Earnings announcement expected in 20 days.
What The Experts Say On Lam Research
In the last month, 2 experts released ratings on this stock with an average target price of $940.0.
- An analyst from Wells Fargo has decided to maintain their Equal-Weight rating on Lam Research, which currently sits at a price target of $980.
- An analyst from Cantor Fitzgerald has revised its rating downward to Neutral, adjusting the price target to $900.
Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for Lam Research with Benzinga Pro for real-time alerts.
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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