A Closer Look at Shopify's Options Market Dynamics
A Closer Look at Shopify's Options Market Dynamics
Deep-pocketed investors have adopted a bearish approach towards Shopify (NYSE:SHOP), 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 SHOP usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 15 extraordinary options activities for Shopify. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 33% leaning bullish and 66% bearish. Among these notable options, 7 are puts, totaling $519,210, and 8 are calls, amounting to $482,007.
Expected Price Movements
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $60.0 to $85.0 for Shopify during the past quarter.
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 Shopify'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 Shopify's whale trades within a strike price range from $60.0 to $85.0 in the last 30 days.
Shopify Option Activity Analysis: Last 30 Days
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| SHOP | PUT | SWEEP | BEARISH | 01/17/25 | $13.5 | $13.15 | $13.5 | $85.00 | $274.0K | 3.1K | 381 |
| SHOP | CALL | SWEEP | BEARISH | 01/16/26 | $18.0 | $17.7 | $17.7 | $75.00 | $148.6K | 3.4K | 89 |
| SHOP | CALL | TRADE | BULLISH | 01/17/25 | $4.65 | $4.5 | $4.6 | $85.00 | $69.9K | 7.5K | 156 |
| SHOP | CALL | SWEEP | BEARISH | 08/30/24 | $1.09 | $1.08 | $1.08 | $76.00 | $54.0K | 1.0K | 29 |
| SHOP | CALL | SWEEP | BEARISH | 03/21/25 | $6.9 | $6.85 | $6.85 | $85.00 | $50.0K | 1.5K | 94 |
About Shopify
Shopify offers an e-commerce platform primarily to small and medium-size businesses. The firm has two segments. The subscription solutions segment allows Shopify merchants to conduct e-commerce on a variety of platforms, including the company's website, physical stores, pop-up stores, kiosks, social networks (Facebook), and Amazon. The merchant solutions segment offers add-on products for the platform that facilitate e-commerce and include Shopify Payments, Shopify Shipping, and Shopify Capital.
In light of the recent options history for Shopify, it's now appropriate to focus on the company itself. We aim to explore its current performance.
Shopify's Current Market Status
- Currently trading with a volume of 3,717,474, the SHOP's price is down by -0.05%, now at $74.51.
- RSI readings suggest the stock is currently may be approaching overbought.
- Anticipated earnings release is in 73 days.
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 Shopify with Benzinga Pro for real-time alerts.