CVS Health's Options Frenzy: What You Need to Know

Deep-pocketed investors have adopted a bullish approach towards CVS Health CVS, 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 CVS usually suggests something big is about to happen.

We gleaned this information from our observations today when Benzinga's options scanner highlighted 12 extraordinary options activities for CVS Health. This level of activity is out of the ordinary.

The general mood among these heavyweight investors is divided, with 41% leaning bullish and 33% bearish. Among these notable options, 2 are puts, totaling $144,070, and 10 are calls, amounting to $620,347.

Projected Price Targets

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $47.5 and $65.0 for CVS Health, spanning the last three months.

Volume & Open Interest Development

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 CVS Health'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 CVS Health's whale trades within a strike price range from $47.5 to $65.0 in the last 30 days.

CVS Health Call and Put Volume: 30-Day Overview

Largest Options Trades Observed:

Symbol PUT/CALL Trade Type Sentiment Exp. Date Ask Bid Price Strike Price Total Trade Price Open Interest Volume
CVS PUT SWEEP BEARISH 03/21/25 $8.7 $8.65 $8.7 $62.50 $113.9K 291 1
CVS CALL TRADE BULLISH 01/17/25 $10.75 $10.75 $10.75 $47.50 $96.7K 859 90
CVS CALL TRADE BULLISH 01/17/25 $10.75 $10.75 $10.75 $47.50 $96.7K 859 0
CVS CALL TRADE BULLISH 01/17/25 $10.7 $9.85 $10.7 $47.50 $96.2K 859 270
CVS CALL SWEEP BEARISH 08/16/24 $1.95 $1.93 $1.95 $60.00 $58.5K 4.2K 581

About CVS Health

CVS Health offers a diverse set of healthcare services. Its roots are in its retail pharmacy operations, where it operates over 9,000 stores primarily in the us. CVS is also a large pharmacy benefit manager (acquired through Caremark), processing about 2 billion adjusted claims annually. It also operates a top-tier health insurer (acquired through Aetna) where it serves about 26 million medical members. The company's recent acquisition of Oak Street adds primary care services to the mix, which could have significant synergies with all its existing business lines.

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

Where Is CVS Health Standing Right Now?

  • With a volume of 5,518,633, the price of CVS is down -0.07% at $56.0.
  • RSI indicators hint that the underlying stock may be approaching overbought.
  • Next earnings are expected to be released in 61 days.

What The Experts Say On CVS Health

In the last month, 5 experts released ratings on this stock with an average target price of $69.8.

  • An analyst from JP Morgan persists with their Overweight rating on CVS Health, maintaining a target price of $86.
  • An analyst from Wells Fargo has decided to maintain their Equal-Weight rating on CVS Health, which currently sits at a price target of $60.
  • Reflecting concerns, an analyst from Truist Securities lowers its rating to Buy with a new price target of $66.
  • Maintaining their stance, an analyst from Goldman Sachs continues to hold a Buy rating for CVS Health, targeting a price of $74.
  • An analyst from Barclays has decided to maintain their Equal-Weight rating on CVS Health, which currently sits at a price target of $63.

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 CVS Health, Benzinga Pro gives you real-time options trades alerts.

Market News and Data brought to you by Benzinga APIs
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Posted In: OptionsMarketsBZI-UOA
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