Alcoa Unusual Options Activity For January 29

Investors with a lot of money to spend have taken a bullish stance on Alcoa AA.

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 AA, 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 8 uncommon options trades for Alcoa.

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, 2 are puts, for a total amount of $69,193, and 6 are calls, for a total amount of $252,545.

Latest Startup Investment Opportunities:

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 $29.5 to $50.0 for Alcoa during the past quarter.

Insights into Volume & Open Interest

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

This data can help you track the liquidity and interest for Alcoa'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 Alcoa's whale activity within a strike price range from $29.5 to $50.0 in the last 30 days.

Alcoa Call and Put Volume: 30-Day Overview

Significant Options Trades Detected:

About Alcoa

Alcoa Corp is a vertically integrated aluminum company whose operations include bauxite mining, alumina refining, and the manufacture of primary aluminum. It is the world's largest bauxite miner and alumina refiner by production volume, and its profits are closely tied to prevailing commodity prices along the aluminum supply chain. The company segments include Bauxite; Alumina and Aluminum. It generates maximum revenue from the Aluminum segment. Geographically, it derives a majority of its revenue from the United States.

Present Market Standing of Alcoa

• With a volume of 2,699,325, the price of AA is down -0.65% at $30.41.
• RSI indicators hint that the underlying stock is currently neutral between overbought and oversold.
• Next earnings are expected to be released in 79 days.

Professional Analyst Ratings for Alcoa

In the last month, 4 experts released ratings on this stock with an average target price of $29.25.

• Consistent in their evaluation, an analyst from JP Morgan keeps a Neutral rating on Alcoa with a target price of $32.
• An analyst from UBS persists with their Sell rating on Alcoa, maintaining a target price of $27.
• Reflecting concerns, an analyst from UBS lowers its rating to Sell with a new price target of $29.
• An analyst from BMO Capital has decided to maintain their Market Perform rating on Alcoa, which currently sits at a price target of $29.

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.

If you want to stay updated on the latest options trades for Alcoa, Benzinga Pro gives you real-time options trades alerts.