This Is What Whales Are Betting On Advance Auto Parts

This Is What Whales Are Betting On Advance Auto Parts

Someone with a lot of money to spend has taken a bearish stance on Advance Auto Parts AAP.

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 AAP, it often means somebody knows something is about to happen.

Today, Benzinga's options scanner spotted 18 options trades for Advance Auto Parts.

This isn't normal.

The overall sentiment of these big-money traders is split between 27% bullish and 72%, bearish.

Out of all of the options we uncovered, 17 are puts, for a total amount of $739,879, and there was 1 call, for a total amount of $27,750.

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 $150.0 to $185.0 for Advance Auto Parts over the last 3 months.

Volume & Open Interest Development

In terms of liquidity and interest, the mean open interest for Advance Auto Parts options trades today is 515.17 with a total volume of 4,844.00.

In the following chart, we are able to follow the development of volume and open interest of call and put options for Advance Auto Parts's big money trades within a strike price range of $150.0 to $185.0 over the last 30 days.

Advance Auto Parts 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
AAP PUT SWEEP BEARISH 11/18/22 $155.00 $86.5K 1.1K 522
AAP PUT TRADE BEARISH 11/18/22 $175.00 $82.5K 697 112
AAP PUT SWEEP BEARISH 11/18/22 $155.00 $71.0K 1.1K 952
AAP PUT TRADE BULLISH 12/16/22 $150.00 $53.4K 184 361
AAP PUT SWEEP BEARISH 11/18/22 $160.00 $51.3K 772 589

Where Is Advance Auto Parts Standing Right Now?

  • With a volume of 2,385,972, the price of AAP is down -17.51% at $151.73.
  • RSI indicators hint that the underlying stock may be approaching oversold.
  • Next earnings are expected to be released in 89 days.

What The Experts Say On Advance Auto Parts:

  • Wells Fargo has decided to maintain their Equal-Weight rating on Advance Auto Parts, which currently sits at a price target of $180.
  • Evercore ISI Group downgraded its action to In-Line with a price target of $180
  • Raymond James has decided to maintain their Strong Buy rating on Advance Auto Parts, which currently sits at a price target of $210.
  • Wedbush has decided to maintain their Outperform rating on Advance Auto Parts, which currently sits at a price target of $165.
  • UBS downgraded its action to Neutral with a price target of $182

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 Advance Auto Parts, Benzinga Pro gives you real-time options trades alerts.

Posted In: BZI-UOAOptionsMarkets