Deep-pocketed investors have adopted a bearish approach towards MercadoLibre MELI, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in MELI usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 14 extraordinary options activities for MercadoLibre. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 42% leaning bullish and 57% bearish. Among these notable options, 2 are puts, totaling $64,180, and 12 are calls, amounting to $563,438.
Expected Price Movements
After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $600.0 and $1800.0 for MercadoLibre, spanning the last three months.
Insights into Volume & Open Interest
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 MercadoLibre'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 MercadoLibre's whale activity within a strike price range from $600.0 to $1800.0 in the last 30 days.
MercadoLibre Option Activity Analysis: Last 30 Days
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| MELI | CALL | TRADE | NEUTRAL | 12/15/23 | $600.00 | $98.2K | 3 | 1 |
| MELI | CALL | TRADE | BULLISH | 01/17/25 | $680.00 | $95.4K | 4 | 1 |
| MELI | CALL | TRADE | BEARISH | 01/16/26 | $1640.00 | $81.0K | 6 | 2 |
| MELI | CALL | TRADE | BULLISH | 01/16/26 | $1660.00 | $40.2K | 1 | 1 |
| MELI | CALL | TRADE | BULLISH | 01/16/26 | $1680.00 | $39.6K | 8 | 0 |
About MercadoLibre
MercadoLibre runs the largest e-commerce marketplace in Latin America, connecting a network of more than 148 million active users and 1 million active sellers as of the end of 2022 across an 18-country footprint. The company also operates a host of complementary businesses, with shipping solutions (Mercado Envios), a payment and financing operation (Mercado Pago and Mercado Credito), advertisements (Mercado Clics), classifieds, and a turnkey e-commerce solution (Mercado Shops) rounding out its arsenal. MercadoLibre generates revenue from final value fees, advertising royalties, payment processing, insertion fees, subscription fees, and interest income from consumer and small-business lending.
In light of the recent options history for MercadoLibre, it's now appropriate to focus on the company itself. We aim to explore its current performance.
MercadoLibre's Current Market Status
- With a volume of 304,992, the price of MELI is down -1.09% at $1582.13.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 79 days.
Expert Opinions on MercadoLibre
Over the past month, 1 industry analysts have shared their insights on this stock, proposing an average target price of $1850.0.
- An analyst from Susquehanna has decided to maintain their Positive rating on MercadoLibre, which currently sits at a price target of $1850.
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 MercadoLibre, Benzinga Pro gives you real-time options trades alerts.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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