Market Whales and Their Recent Bets on AVGO Options

Investors with a lot of money to spend have taken a bearish stance on Broadcom AVGO.

And retail traders should know.

We noticed this today when the positions 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 AVGO, it often means somebody knows something is about to happen.

Today, Benzinga's options scanner spotted 18 options trades for Broadcom.

This isn't normal.

The overall sentiment of these big-money traders is split between 33% bullish and 38%, bearish.

Out of all of the options we uncovered, there was 1 put, for a total amount of $77,550, and 17, calls, for a total amount of $1,257,417.

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Expected Price Movements

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $140.0 to $280.0 for Broadcom during the past quarter.

Volume & Open Interest Development

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Broadcom's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Broadcom's substantial trades, within a strike price spectrum from $140.0 to $280.0 over the preceding 30 days.

Broadcom Option Volume And Open Interest Over Last 30 Days

Noteworthy Options Activity:

About Broadcom

Broadcom is the sixth-largest semiconductor company globally and has expanded into various software businesses, with over $30 billion in annual revenue. It sells 17 core semiconductor product lines across wireless, networking, broadband, storage, and industrial markets. It is primarily a fabless designer but holds some manufacturing in-house, like for its best-of-breed FBAR filters that sell into the Apple iPhone. In software, it sells virtualization, infrastructure, and security software to large enterprises, financial institutions, and governments.Broadcom is the product of consolidation. Its businesses are an amalgamation of former companies like legacy Broadcom and Avago Technologies in chips, as well as Brocade, CA Technologies, and Symantec in software.

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

Broadcom's Current Market Status

• Currently trading with a volume of 3,330,621, the AVGO's price is up by 0.85%, now at $246.71.
• RSI readings suggest the stock is currently may be approaching overbought.
• Anticipated earnings release is in 85 days.

Professional Analyst Ratings for Broadcom

In the last month, 5 experts released ratings on this stock with an average target price of $287.2.

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20-year pro options trader reveals his one-line chart technique that shows when to buy and sell. Copy his trades, which have had averaged a 27% profit every 20 days. Click here for access. * Maintaining their stance, an analyst from UBS continues to hold a Buy rating for Broadcom, targeting a price of $290. * An analyst from Mizuho has decided to maintain their Outperform rating on Broadcom, which currently sits at a price target of $310. * Maintaining their stance, an analyst from Susquehanna continues to hold a Positive rating for Broadcom, targeting a price of $280. * An analyst from Wells Fargo has decided to maintain their Equal-Weight rating on Broadcom, which currently sits at a price target of $255. * An analyst from Redburn Atlantic downgraded its action to Buy with a price target of $301.

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 Broadcom options trades with real-time alerts from Benzinga Pro.