Looking At Groupon's Recent Unusual Options Activity

Someone with a lot of money to spend has taken a bullish stance on Groupon GRPN.

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

Today, Benzinga's options scanner spotted 13 options trades for Groupon.

This isn't normal.

The overall sentiment of these big-money traders is split between 69% bullish and 30%, bearish.

Out of all of the options we uncovered, there was 1 put, for a total amount of $117,150, and 12, calls, for a total amount of $511,917..

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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 $7.0 to $15.0 for Groupon over the last 3 months.

Volume & Open Interest Development

In terms of liquidity and interest, the mean open interest for Groupon options trades today is 2766.12 with a total volume of 18,244.00.

In the following chart, we are able to follow the development of volume and open interest of call and put options for Groupon's big money trades within a strike price range of $7.0 to $15.0 over the last 30 days.

Groupon Option Volume And Open Interest Over Last 30 Days

Biggest Options Spotted:

Where Is Groupon Standing Right Now?

• With a volume of 851,659, the price of GRPN is down -1.89% at $7.79.
• RSI indicators hint that the underlying stock may be approaching overbought.
• Next earnings are expected to be released in 88 days.

What The Experts Say On Groupon:

• Barclays has decided to maintain their Underweight rating on Groupon, which currently sits at a price target of $6.

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