Deep-pocketed investors have adopted a bullish approach towards Caterpillar (NYSE:CAT), 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 CAT usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 37 extraordinary options activities for Caterpillar. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 37% leaning bullish and 37% bearish. Among these notable options, 18 are puts, totaling $2,032,141, and 19 are calls, amounting to $3,075,855.
Expected Price Movements
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $290.0 to $470.0 for Caterpillar over the last 3 months.
Volume & Open Interest Trends
In today's trading context, the average open interest for options of Caterpillar stands at 729.62, with a total volume reaching 8,469.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Caterpillar, situated within the strike price corridor from $290.0 to $470.0, throughout the last 30 days.
Caterpillar 30-Day Option Volume & Interest Snapshot
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| CAT | CALL | TRADE | NEUTRAL | 01/17/25 | $37.05 | $35.05 | $36.0 | $370.00 | $1.6M | 1.0K | 451 |
| CAT | PUT | TRADE | BEARISH | 11/15/24 | $12.55 | $12.25 | $12.5 | $380.00 | $1.0M | 1.6K | 1.5K |
| CAT | CALL | TRADE | BULLISH | 11/01/24 | $32.7 | $29.85 | $32.7 | $360.00 | $588.6K | 382 | 180 |
| CAT | CALL | TRADE | NEUTRAL | 01/17/25 | $24.5 | $23.85 | $24.17 | $390.00 | $120.8K | 1.0K | 52 |
| CAT | CALL | SWEEP | BULLISH | 01/17/25 | $24.6 | $23.95 | $24.35 | $390.00 | $97.3K | 1.0K | 52 |
About Caterpillar
Caterpillar is the top manufacturer of heavy equipment, power solutions, and locomotives. It is currently the world's largest manufacturer of heavy equipment. The company is divided into four reportable segments: construction industries, resource industries, energy and transportation, and Cat Financial. Its products are available through a dealer network that covers the globe with about 2,700 branches maintained by 160 dealers. Cat Financial provides retail financing for machinery and engines to its customers, in addition to wholesale financing for dealers, which increases the likelihood of Caterpillar product sales.
Present Market Standing of Caterpillar
- With a volume of 1,775,332, the price of CAT is down -2.38% at $388.78.
- RSI indicators hint that the underlying stock may be overbought.
- Next earnings are expected to be released in 21 days.
Professional Analyst Ratings for Caterpillar
1 market experts have recently issued ratings for this stock, with a consensus target price of $434.0.
Unusual Options Activity Detected: Smart Money on the Move
Benzinga Edge's Unusual Options board spots potential market movers before they happen. See what positions big money is taking on your favorite stocks. Click here for access.* Consistent in their evaluation, an analyst from B of A Securities keeps a Buy rating on Caterpillar with a target price of $434.
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.
