Smart Money Is Betting Big In TWLO Options

Investors with a lot of money to spend have taken a bearish stance on Twilio TWLO.

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 TWLO, 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 18 uncommon options trades for Twilio.

This isn't normal.

The overall sentiment of these big-money traders is split between 27% bullish and 72%, bearish.

Out of all of the special options we uncovered, 4 are puts, for a total amount of $154,908, and 14 are calls, for a total amount of $913,212.

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 $60.0 to $80.0 for Twilio during the past quarter.

Volume & Open Interest Trends

In today's trading context, the average open interest for options of Twilio stands at 1091.67, with a total volume reaching 5,240.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Twilio, situated within the strike price corridor from $60.0 to $80.0, throughout the last 30 days.

Twilio 30-Day Option Volume & Interest Snapshot

Significant Options Trades Detected:

About Twilio

Twilio is a cloud-based communications platform-as-a-service company offering communication building blocks that allow for a fully customized customer engagement experience spanning voice, video, chat, and SMS messaging. It does this through various application programming interfaces and prebuilt solution applications aimed at improving customer engagement. The company leverages its Super Network, a global network of carrier relationships, to facilitate high-speed, cost-effective communication.

After a thorough review of the options trading surrounding Twilio, we move to examine the company in more detail. This includes an assessment of its current market status and performance.

Current Position of Twilio

• Trading volume stands at 1,636,155, with TWLO's price up by 0.16%, positioned at $69.25.
• RSI indicators show the stock to be may be approaching oversold.
• Earnings announcement expected in 8 days.

Professional Analyst Ratings for Twilio

Over the past month, 3 industry analysts have shared their insights on this stock, proposing an average target price of $74.66666666666667.

• In a positive move, an analyst from Piper Sandler has upgraded their rating to Overweight and adjusted the price target to $82.
• Consistent in their evaluation, an analyst from Goldman Sachs keeps a Neutral rating on Twilio with a target price of $72.
• An analyst from Barclays has decided to maintain their Equal-Weight rating on Twilio, which currently sits at a price target 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.

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