Lyft Options Trading: A Deep Dive into Market Sentiment

Investors with a lot of money to spend have taken a bearish stance on Lyft LYFT.

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 LYFT, 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 10 uncommon options trades for Lyft.

This isn't normal.

The overall sentiment of these big-money traders is split between 30% bullish and 50%, bearish.

Out of all of the special options we uncovered, 2 are puts, for a total amount of $152,764, and 8 are calls, for a total amount of $389,291.

What's The Price Target?

Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $10.0 to $20.0 for Lyft over the last 3 months.

Volume & Open Interest Trends

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Lyft's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Lyft's substantial trades, within a strike price spectrum from $10.0 to $20.0 over the preceding 30 days.

Lyft Call and Put Volume: 30-Day Overview

Biggest Options Spotted:

About Lyft

Lyft is the second-largest ride-sharing service provider in the us and Canada, connecting riders and drivers over the Lyft app. Incorporated in 2013, Lyft offers a variety of rides via private vehicles, including traditional private rides, shared rides, and luxury ones. Besides ride-share, Lyft also has entered the bike- and scooter-share market to bring multimodal transportation options to users.

Following our analysis of the options activities associated with Lyft, we pivot to a closer look at the company's own performance.

Present Market Standing of Lyft

• Trading volume stands at 7,013,726, with LYFT's price up by 2.72%, positioned at $16.45.
• RSI indicators show the stock to be may be approaching overbought.
• Earnings announcement expected in 76 days.

Expert Opinions on Lyft

5 market experts have recently issued ratings for this stock, with a consensus target price of $20.4.

• Maintaining their stance, an analyst from Piper Sandler continues to hold a Overweight rating for Lyft, targeting a price of $23.
• Maintaining their stance, an analyst from Wedbush continues to hold a Neutral rating for Lyft, targeting a price of $18.
• Maintaining their stance, an analyst from RBC Capital continues to hold a Outperform rating for Lyft, targeting a price of $24.
• An analyst from Bernstein persists with their Market Perform rating on Lyft, maintaining a target price of $19.
• An analyst from DA Davidson persists with their Neutral rating on Lyft, maintaining a target price of $18.

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 Lyft with Benzinga Pro for real-time alerts.