What Are Whales Doing With Caterpillar

What Are Whales Doing With Caterpillar

Someone with a lot of money to spend has taken a bearish stance on Caterpillar CAT.

And retail traders should know.

We noticed this today when the big position showed up on publicly available options history that we track here at Benzinga.

Whether this is an institution or just a wealthy individual, we don't know. But when something this big happens with CAT, it often means somebody knows something is about to happen.

So how do we know what this whale just did?

Today, Benzinga's options scanner spotted 14 uncommon options trades for Caterpillar.

This isn't normal.

The overall sentiment of these big-money traders is split between 21% bullish and 78%, bearish.

Out of all of the special options we uncovered, 9 are puts, for a total amount of $379,282, and 5 are calls, for a total amount of $272,742.

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 $175.0 to $220.0 for Caterpillar over the last 3 months.

Volume & Open Interest Development

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

This data can help you track the liquidity and interest for Caterpillar'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 Caterpillar's whale activity within a strike price range from $175.0 to $220.0 in the last 30 days.

Caterpillar Option Volume And Open Interest Over Last 30 Days

Biggest Options Spotted:

Symbol PUT/CALL Trade Type Sentiment Exp. Date Strike Price Total Trade Price Open Interest Volume
CAT CALL SWEEP BEARISH 01/19/24 $220.00 $74.7K 295 61
CAT PUT TRADE BEARISH 11/18/22 $200.00 $67.4K 2.3K 46
CAT CALL SWEEP BEARISH 10/28/22 $190.00 $66.0K 0 90
CAT CALL SWEEP BEARISH 01/20/23 $185.00 $55.2K 208 37
CAT PUT TRADE NEUTRAL 12/16/22 $190.00 $54.3K 333 156

Symbol PUT/CALL Trade Type Sentiment Exp. Date Strike Price Total Trade Price Open Interest Volume
CAT CALL SWEEP BEARISH 01/19/24 $220.00 $74.7K 295 61
CAT PUT TRADE BEARISH 11/18/22 $200.00 $67.4K 2.3K 46
CAT CALL SWEEP BEARISH 10/28/22 $190.00 $66.0K 0 90
CAT CALL SWEEP BEARISH 01/20/23 $185.00 $55.2K 208 37
CAT PUT TRADE NEUTRAL 12/16/22 $190.00 $54.3K 333 156

Where Is Caterpillar Standing Right Now?

  • With a volume of 1,399,308, the price of CAT is up 3.47% at $189.51.
  • RSI indicators hint that the underlying stock is currently neutral between overbought and oversold.
  • Next earnings are expected to be released in 48 days.

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

Posted In: BZI-UOAOptionsMarkets