A Closer Look at Chewy's Options Market Dynamics

High-rolling investors have positioned themselves bearish on Chewy CHWY, 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 CHWY often signals that someone has privileged information.

Today, Benzinga's options scanner spotted 11 options trades for Chewy. This is not a typical pattern.

The sentiment among these major traders is split, with 18% bullish and 45% bearish. Among all the options we identified, there was one put, amounting to $47,055, and 10 calls, totaling $304,065.

What's The Price Target?

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $15.0 and $37.5 for Chewy, spanning the last three months.

Volume & Open Interest Trends

In terms of liquidity and interest, the mean open interest for Chewy options trades today is 1800.17 with a total volume of 1,751.00.

In the following chart, we are able to follow the development of volume and open interest of call and put options for Chewy's big money trades within a strike price range of $15.0 to $37.5 over the last 30 days.

Chewy Option Volume And Open Interest Over Last 30 Days

Noteworthy Options Activity:

Symbol PUT/CALL Trade Type Sentiment Exp. Date Ask Bid Price Strike Price Total Trade Price Open Interest Volume
CHWY PUT SWEEP NEUTRAL 06/20/25 $3.45 $2.88 $3.13 $20.00 $47.0K 134 0
CHWY CALL SWEEP NEUTRAL 09/20/24 $8.3 $8.1 $8.2 $15.00 $43.3K 1.1K 201
CHWY CALL SWEEP BEARISH 06/21/24 $7.9 $7.7 $7.79 $15.00 $41.2K 2.7K 167
CHWY CALL TRADE BEARISH 01/16/26 $3.9 $3.8 $3.8 $37.50 $29.6K 2.2K 114
CHWY CALL SWEEP BULLISH 09/20/24 $8.3 $8.15 $8.15 $15.00 $28.1K 1.1K 0

About Chewy

Chewy is the largest e-commerce pet care retailer in the US, generating $11.2 billion in 2023 sales across pet food, treats, hard goods, and pharmacy categories. The firm was founded in 2011, acquired by PetSmart in 2017, and tapped public markets as a stand-alone company in 2019 after spending a couple of years developing under the aegis of the pet superstore chain. The firm generates sales from pet food, treats, over-the-counter medications, medical prescription fulfillment, and hard goods, like crates, leashes, and bowls.

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

Where Is Chewy Standing Right Now?

  • Trading volume stands at 3,344,036, with CHWY's price up by 3.23%, positioned at $23.33.
  • RSI indicators show the stock to be may be overbought.
  • Earnings announcement expected in 83 days.

What Analysts Are Saying About Chewy

5 market experts have recently issued ratings for this stock, with a consensus target price of $24.8.

  • An analyst from Deutsche Bank has decided to maintain their Hold rating on Chewy, which currently sits at a price target of $20.
  • Consistent in their evaluation, an analyst from Piper Sandler keeps a Neutral rating on Chewy with a target price of $22.
  • Maintaining their stance, an analyst from Needham continues to hold a Buy rating for Chewy, targeting a price of $30.
  • An analyst from Raymond James has decided to maintain their Outperform rating on Chewy, which currently sits at a price target of $24.
  • Consistent in their evaluation, an analyst from Morgan Stanley keeps a Overweight rating on Chewy with a target price of $28.

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 Chewy, 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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