Market Whales and Their Recent Bets on CVS Options

Author: Benzinga Insights | May 21, 2024 10:46am

Financial giants have made a conspicuous bearish move on CVS Health. Our analysis of options history for CVS Health (NYSE:CVS) revealed 8 unusual trades.

Delving into the details, we found 37% of traders were bullish, while 62% showed bearish tendencies. Out of all the trades we spotted, 3 were puts, with a value of $96,030, and 5 were calls, valued at $254,769.

What's The Price Target?

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $50.0 to $65.0 for CVS Health over the recent three months.

Volume & Open Interest Development

Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for CVS Health'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 CVS Health's whale trades within a strike price range from $50.0 to $65.0 in the last 30 days.

CVS Health Option Volume And Open Interest Over Last 30 Days

Biggest Options Spotted:

Symbol	PUT/CALL	Trade Type	Sentiment	Exp. Date	Ask	Bid	Price	Strike Price	Total Trade Price	Open Interest	Volume
CVS	CALL	SWEEP	BEARISH	05/24/24	$0.54	$0.49	$0.49	$57.00	$73.5K	4.9K	3.1K
CVS	CALL	SWEEP	BEARISH	05/24/24	$0.5	$0.49	$0.5	$57.00	$68.7K	4.9K	1.4K
CVS	CALL	SWEEP	BEARISH	08/16/24	$0.76	$0.71	$0.71	$65.00	$42.6K	1.5K	607
CVS	PUT	SWEEP	BEARISH	09/20/24	$6.75	$6.65	$6.75	$62.50	$40.5K	1.3K	63
CVS	CALL	TRADE	BULLISH	09/20/24	$8.2	$7.05	$8.1	$50.00	$40.5K	926	50

About CVS Health

CVS Health offers a diverse set of healthcare services. Its roots are in its retail pharmacy operations, where it operates over 9,000 stores primarily in the us. CVS is also a large pharmacy benefit manager (acquired through Caremark), processing about 2 billion adjusted claims annually. It also operates a top-tier health insurer (acquired through Aetna) where it serves about 26 million medical members. The company's recent acquisition of Oak Street adds primary care services to the mix, which could have significant synergies with all its existing business lines.

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

CVS Health's Current Market Status

• With a volume of 3,765,582, the price of CVS is down -0.73% at $56.98.
• RSI indicators hint that the underlying stock may be oversold.
• Next earnings are expected to be released in 71 days.

Professional Analyst Ratings for CVS Health

Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $62.8.

• An analyst from B of A Securities persists with their Buy rating on CVS Health, maintaining a target price of $77.
• Maintaining their stance, an analyst from Wells Fargo continues to hold a Equal-Weight rating for CVS Health, targeting a price of $60.
• An analyst from TD Cowen downgraded its action to Hold with a price target of $59.
• An analyst from Cantor Fitzgerald downgraded its action to Neutral with a price target of $58.
• Reflecting concerns, an analyst from UBS lowers its rating to Neutral with a new price target of $60.

Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for CVS Health with Benzinga Pro for real-time alerts.

Posted In: CVS