Alcoa's Options: A Look at What the Big Money is Thinking

Financial giants have made a conspicuous bearish move on Alcoa. Our analysis of options history for Alcoa AA revealed 26 unusual trades.

Delving into the details, we found 26% of traders were bullish, while 61% showed bearish tendencies. Out of all the trades we spotted, 8 were puts, with a value of $399,264, and 18 were calls, valued at $957,275.

Expected Price Movements

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $22.5 and $45.0 for Alcoa, spanning the last three months.

Volume & Open Interest Development

In today's trading context, the average open interest for options of Alcoa stands at 2366.2, with a total volume reaching 10,649.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Alcoa, situated within the strike price corridor from $22.5 to $45.0, throughout the last 30 days.

Alcoa Call and Put Volume: 30-Day Overview

Noteworthy Options Activity:

Symbol PUT/CALL Trade Type Sentiment Exp. Date Ask Bid Price Strike Price Total Trade Price Open Interest Volume
AA PUT SWEEP BEARISH 09/20/24 $3.25 $3.15 $3.25 $35.00 $97.5K 2.8K 377
AA CALL SWEEP BEARISH 07/19/24 $7.6 $7.5 $7.55 $30.00 $75.1K 2.2K 180
AA CALL SWEEP BEARISH 10/18/24 $5.85 $5.8 $5.8 $35.00 $74.2K 2.1K 128
AA CALL SWEEP BEARISH 07/19/24 $7.5 $7.4 $7.43 $30.00 $74.1K 2.2K 1.0K
AA CALL SWEEP BEARISH 07/19/24 $7.5 $7.4 $7.45 $30.00 $73.8K 2.2K 639

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 a 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.

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

Present Market Standing of Alcoa

  • Trading volume stands at 2,218,644, with AA's price down by -2.64%, positioned at $36.58.
  • RSI indicators show the stock to be may be approaching overbought.
  • Earnings announcement expected in 70 days.

Professional Analyst Ratings for Alcoa

In the last month, 5 experts released ratings on this stock with an average target price of $36.9.

  • Maintaining their stance, an analyst from BMO Capital continues to hold a Market Perform rating for Alcoa, targeting a price of $37.
  • Consistent in their evaluation, an analyst from UBS keeps a Sell rating on Alcoa with a target price of $32.
  • An analyst from B. Riley Securities persists with their Neutral rating on Alcoa, maintaining a target price of $31.
  • In a positive move, an analyst from Morgan Stanley has upgraded their rating to Equal-Weight and adjusted the price target to $36.
  • Maintaining their stance, an analyst from Jefferies continues to hold a Buy rating for Alcoa, targeting a price of $48.

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.

Market News and Data brought to you by Benzinga APIs
Date of Trade
Strike Price
Posted In: OptionsMarketsBZI-UOA
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