Whales Take Bearish Stance on MongoDB: Options Activity Reveals Trading Sentiment
Whales, or investors with significant amounts of money to spend, have recently shown a noticeable bearish stance on MongoDB. This sentiment is reflected in the options trading activity surrounding the stock.
Analyzing the options history for MongoDB (MDB), it was discovered that there were 18 trades made. Among these trades, 33% of investors opened positions with bullish expectations, while a majority of 66% took a bearish outlook.
Further examination of the trades revealed that there were 2 puts, with a total value of $96,770, and 16 calls, totaling $1,003,242. This indicates that the whales are betting against the stock’s performance.
Based on the trading activity observed, it appears that the significant investors are aiming for a price range of $400.0 to $500.0 for MongoDB in the recent three months.
In terms of volume and open interest development, the average open interest for MongoDB options stands at 172.73, with a total volume reaching 621.00. The accompanying chart illustrates the progression of both call and put option volume and open interest for high-value trades in MongoDB within the strike price range of $400.0 to $500.0 over the last 30 days.
Noteworthy options activity includes several trades with varying sentiments. One notable trade is a call sweep with a bullish sentiment, expiring on February 16, 2024, at a strike price of $430.00, and a total trade price of $125.6K. Another trade is a call trade with a bearish sentiment, expiring on June 21, 2024, at a strike price of $500.00, and a total trade price of $86.2K.
MongoDB, founded in 2007, is a document-oriented database with a wide customer base. It offers both licenses and subscriptions as a service for its NoSQL database, which is compatible with all major programming languages and can be deployed for various use cases.
Turning to MongoDB’s market standing, the stock is currently trading at $447.5 with a volume of 457,244, reflecting a 2.43% increase. RSI readings suggest a neutral position between overbought and oversold. The anticipated earnings release for MongoDB is set to occur in 29 days.
Analysts have recently issued ratings for MongoDB, with a consensus target price of $446.67. One analyst from DA Davidson has revised its rating downward to Neutral, adjusting the price target to $405. Another analyst from Needham also revised its rating downward to Buy, setting a price target of $495. Additionally, an analyst from JMP Securities downgraded the stock to Market Outperform, with a price target of $440.
It is important to note that options trading carries higher risk compared to trading the stock directly, but it also presents higher profit potential. Serious options traders manage this risk by staying informed, scaling in and out of trades, following multiple indicators, and closely monitoring the markets.
For those interested in staying updated on the latest options trades for MongoDB, Benzinga Pro offers real-time options trade alerts.
