High-rolling investors have positioned themselves bearish on Microchip Technology MCHP, and it's important for retail traders to take note. \This activity came to our attention today through Benzinga's tracking of publicly available options data. The identities of these investors are uncertain, but such a significant move in MCHP often signals that someone has privileged information.
Today, Benzinga's options scanner spotted 8 options trades for Microchip Technology. This is not a typical pattern.
The sentiment among these major traders is split, with 37% bullish and 62% bearish. Among all the options we identified, there was one put, amounting to $198,060, and 7 calls, totaling $369,752.
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 $87.5 to $95.0 for Microchip Technology 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 Microchip Technology'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 Microchip Technology's whale trades within a strike price range from $87.5 to $95.0 in the last 30 days.
Microchip Technology 30-Day Option Volume & Interest Snapshot
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| MCHP | PUT | SWEEP | BULLISH | 04/19/24 | $87.50 | $198.0K | 744 | 229 |
| MCHP | CALL | SWEEP | BEARISH | 01/17/25 | $95.00 | $85.5K | 1.1K | 205 |
| MCHP | CALL | TRADE | BEARISH | 01/17/25 | $95.00 | $81.3K | 1.1K | 0 |
| MCHP | CALL | SWEEP | BULLISH | 08/16/24 | $90.00 | $48.3K | 149 | 70 |
| MCHP | CALL | SWEEP | BEARISH | 01/17/25 | $95.00 | $42.3K | 1.1K | 350 |
About Microchip Technology
Microchip Technology became an independent company in 1989 when it was spun off from General Instrument. More than half of revenue comes from MCUs, which are used in a wide array of electronic devices from remote controls to garage door openers to power windows in autos. The company's strength lies in lower-end 8-bit MCUs that are suitable for a wider range of less technologically advanced devices, but the firm has expanded its presence in higher-end MCUs and analog chips as well.
After a thorough review of the options trading surrounding Microchip Technology, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Where Is Microchip Technology Standing Right Now?
- With a trading volume of 1,575,440, the price of MCHP is down by -0.37%, reaching $87.75.
- Current RSI values indicate that the stock is may be approaching overbought.
- Next earnings report is scheduled for 44 days from now.
Expert Opinions on Microchip Technology
A total of 1 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $94.0.
- In a cautious move, an analyst from Stifel downgraded its rating to Buy, setting a price target of $94.
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 Microchip Technology with Benzinga Pro for real-time alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Date of Trade | ticker | Put/Call | Strike Price | DTE | Sentiment |
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