Looking At Sea's Recent Unusual Options Activity

Investors with a lot of money to spend have taken a bearish stance on Sea SE.

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 SE, 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 8 uncommon options trades for Sea.

This isn't normal.

The overall sentiment of these big-money traders is split between 25% bullish and 62%, bearish.

Out of all of the special options we uncovered, 3 are puts, for a total amount of $751,340, and 5 are calls, for a total amount of $561,089.

Projected Price Targets

Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $55.0 to $75.0 for Sea over the last 3 months.

Volume & Open Interest Development

In terms of liquidity and interest, the mean open interest for Sea options trades today is 7026.83 with a total volume of 1,900.00.

In the following chart, we are able to follow the development of volume and open interest of call and put options for Sea's big money trades within a strike price range of $55.0 to $75.0 over the last 30 days.

Sea Option Activity Analysis: Last 30 Days

Noteworthy Options Activity:

About Sea

Sea operates Southeast Asia's largest e-commerce company, Shopee, in terms of gross merchandise value and number of transactions. Sea started as a gaming business, Garena, but in 2015 expanded into e-commerce, which is now the main growth driver. Shopee is a hybrid C2C and B2C marketplace platform operating in eight core markets. Indonesia accounts for 35% of GMV, with the rest split mainly among Taiwan, Vietnam, Thailand, Malaysia, and the Philippines. For Garena, Free Fire was the most downloaded game in January 2022 and accounted for 74% of gaming revenue in 2021. Sea's third business, SeaMoney, provides mostly credit lending.

Current Position of Sea

• Currently trading with a volume of 2,696,923, the SE's price is up by 0.35%, now at $71.98.
• RSI readings suggest the stock is currently may be approaching overbought.
• Anticipated earnings release is in 81 days.

What The Experts Say On Sea

In the last month, 5 experts released ratings on this stock with an average target price of $71.2.

• An analyst from TD Cowen persists with their Hold rating on Sea, maintaining a target price of $64.
• An analyst from Deutsche Bank has revised its rating downward to Hold, adjusting the price target to $60.
• An analyst from Wedbush downgraded its action to Outperform with a price target of $72.
• An analyst from Barclays has decided to maintain their Overweight rating on Sea, which currently sits at a price target of $85.
• Consistent in their evaluation, an analyst from B of A Securities keeps a Buy rating on Sea with a target price of $75.

Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Sea options trades with real-time alerts from Benzinga Pro.