Deep-pocketed investors have adopted a bearish approach towards Lam Research LRCX, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in LRCX usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 19 extraordinary options activities for Lam Research. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 26% leaning bullish and 73% bearish. Among these notable options, 4 are puts, totaling $164,051, and 15 are calls, amounting to $757,283.
Predicted Price Range
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $700.0 to $1400.0 for Lam Research over the recent three months.
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 $1400.0 over the preceding 30 days.
Lam Research Option Activity Analysis: Last 30 Days
Significant Options Trades Detected:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| LRCX | CALL | SWEEP | BEARISH | 03/15/24 | $945.00 | $124.2K | 134 | 135 |
| LRCX | CALL | TRADE | NEUTRAL | 03/15/24 | $765.00 | $84.2K | 97 | 5 |
| LRCX | CALL | TRADE | NEUTRAL | 03/15/24 | $850.00 | $83.3K | 9 | 10 |
| LRCX | CALL | SWEEP | BULLISH | 04/05/24 | $935.00 | $77.3K | 0 | 20 |
| LRCX | PUT | SWEEP | BEARISH | 03/15/24 | $930.00 | $64.2K | 150 | 50 |
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.
After a thorough review of the options trading surrounding Lam Research, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Where Is Lam Research Standing Right Now?
- Currently trading with a volume of 167,308, the LRCX's price is up by 0.32%, now at $934.21.
- RSI readings suggest the stock is currently may be approaching overbought.
- Anticipated earnings release is in 36 days.
Professional Analyst Ratings for Lam Research
Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $946.0.
- Reflecting concerns, an analyst from Cantor Fitzgerald lowers its rating to Neutral with a new price target of $900.
- In a cautious move, an analyst from Cantor Fitzgerald downgraded its rating to Neutral, setting a price target of $900.
- In a cautious move, an analyst from Cantor Fitzgerald downgraded its rating to Neutral, setting a price target of $900.
- Consistent in their evaluation, an analyst from UBS keeps a Buy rating on Lam Research with a target price of $1130.
- An analyst from Cantor Fitzgerald has revised its rating downward to Neutral, adjusting the price target to $900.
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 Lam Research, Benzinga Pro gives you real-time options trades alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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