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 Devon Energy (NYSE:DVN).
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 DVN, 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 10 uncommon options trades for Devon Energy.
This isn't normal.
The overall sentiment of these big-money traders is split between 60% bullish and 40%, bearish.
Out of all of the special options we uncovered, 3 are puts, for a total amount of $283,973, and 7 are calls, for a total amount of $334,945.
Expected Price Movements
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $30.0 to $57.5 for Devon Energy during the past quarter.
Volume & Open Interest Trends
Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for Devon Energy's options for a given strike price. Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Devon Energy's whale trades within a strike price range from $30.0 to $57.5 in the last 30 days.
Devon Energy 30-Day Option Volume & Interest Snapshot
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| DVN | PUT | SWEEP | BULLISH | 05/10/24 | $4.0 | $3.2 | $3.37 | $55.00 | $147.9K | 74 | 0 |
| DVN | CALL | SWEEP | BEARISH | 10/18/24 | $5.45 | $5.35 | $5.35 | $50.00 | $110.7K | 1.0K | 0 |
| DVN | PUT | SWEEP | BULLISH | 05/17/24 | $5.95 | $5.85 | $5.88 | $57.50 | $101.8K | 280 | 94 |
| DVN | CALL | SWEEP | BEARISH | 12/20/24 | $3.95 | $3.9 | $3.9 | $55.00 | $47.1K | 8.3K | 0 |
| DVN | CALL | TRADE | BULLISH | 04/26/24 | $21.8 | $21.55 | $21.8 | $30.00 | $43.6K | 10 | 10 |
About Devon Energy
Devon Energy, based in Oklahoma City, is one of the largest independent exploration and production companies in North America. The firm's asset base is spread throughout onshore North America and includes exposure to the Delaware, STACK, Eagle Ford, Powder River Basin, and Bakken plays. At year-end 2023, net production totaled roughly 658 thousand boe/d, of which oil and natural gas liquids made up roughly three-quarters of production, with natural gas accounting for the remainder.
After a thorough review of the options trading surrounding Devon Energy, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Present Market Standing of Devon Energy
- Currently trading with a volume of 2,517,916, the DVN's price is up by 0.25%, now at $51.8.
- RSI readings suggest the stock is currently may be approaching overbought.
- Anticipated earnings release is in 13 days.
What Analysts Are Saying About Devon Energy
In the last month, 5 experts released ratings on this stock with an average target price of $59.0.
- An analyst from Citigroup has decided to maintain their Buy rating on Devon Energy, which currently sits at a price target of $62.
- Maintaining their stance, an analyst from UBS continues to hold a Neutral rating for Devon Energy, targeting a price of $57.
- In a cautious move, an analyst from Barclays downgraded its rating to Equal-Weight, setting a price target of $59.
- Consistent in their evaluation, an analyst from Morgan Stanley keeps a Overweight rating on Devon Energy with a target price of $50.
- An analyst from Scotiabank has decided to maintain their Sector Outperform rating on Devon Energy, which currently sits at a price target of $67.
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 Devon Energy 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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