Smart Money's Big Bet on NVIDIA Options

Large investors are showing a strong interest in NVIDIA (NASDAQ: NVDA), taking a bullish stance that shouldn't be overlooked by other market participants. Recent analysis of public options data has revealed significant activity around NVDA options, indicating that something noteworthy may be on the horizon.

In our latest observations, we found that there were 183 notable options trades related to NVIDIA today. This amount of activity is quite unusual, signaling that large players are making strategic moves.

Investor Sentiment

Among these high-profile investors, opinions are somewhat split, with 45% taking a bullish position and 44% bearish. Notably, the options trades included 72 puts totaling approximately $5.87 million, against 111 calls amounting to about $7.03 million.

Price Target Expectations

Considering the volume and open interest related to these contracts, it appears that major investors have been eyeing a price range for NVIDIA between $80.00 and $180.00 over the past three months. This suggests an increased interest in trading options at these levels.

Volume and Open Interest Analysis

Analyzing volume and open interest is crucial when trading options, as it provides insights into liquidity and the level of interest for NVIDIA's options at different strike prices. Recent data shows how volume and open interest for calls and puts have evolved within the $80.00 to $180.00 range over the last month.

Recent Options Trade Highlights

Symbol	PUT/CALL	Trade Type	Sentiment	Exp. Date	Ask	Bid	Price	Strike Price	Total Trade Price	Open Interest	Volume
NVDA	CALL	SWEEP	NEUTRAL	10/25/24	$1.79	$1.78	$1.78	$142.00	$561.4K	129.3K	24.6K
NVDA	CALL	SWEEP	BULLISH	10/25/24	$2.11	$2.08	$2.1	$141.00	$209.5K	14.8K	11.3K
NVDA	CALL	SWEEP	BEARISH	10/25/24	$1.83	$1.82	$1.82	$142.00	$173.0K	129.3K	28.1K
NVDA	CALL	SWEEP	BEARISH	10/25/24	$2.82	$2.79	$2.8	$140.00	$168.4K	55.8K	13.2K
NVDA	PUT	SWEEP	BULLISH	11/15/24	$1.23	$1.21	$1.21	$120.00	$105.4K	41.3K	554

About NVIDIA

NVIDIA is renowned for developing graphics processing units (GPUs), which have traditionally been vital for enhancing gaming experiences on personal computers. However, the application of GPUs has expanded significantly, becoming integral in artificial intelligence (AI) and data processing. Along with offering advanced AI GPUs, NVIDIA provides the CUDA software platform for AI model development and training, as well as data center networking solutions that enhance the performance of parallel GPU workloads.

NVIDIA's Current Market Situation

• The trading volume for NVDA is 7,999,297, and currently, the stock price has decreased by 1.25%, positioning at $141.80.
• Relative strength index (RSI) assessments suggest the stock may be approaching overbought territory.
• An earnings announcement is expected in 27 days, which may impact market activity.

Expert Insights on NVIDIA

In the past month, five analysts have provided ratings for NVIDIA, with an average price target set at $163.00. Some notable insights include:

• UBS analyst downgraded their rating to Buy, now with a price target of $150.
• Cantor Fitzgerald adjusted their rating to Overweight and set their price target at $175.
• Goldman Sachs retains a Buy rating, with a target price of $150.
• Morgan Stanley downgraded to Overweight, while also pegging a price target of $150.
• B of A Securities continues to show a strong outlook, maintaining a Buy rating with a target of $190.

Options trading can carry higher risks but also presents opportunities for substantial profits. Astute traders often manage these risks through continuous education, strategic adjustments, and meticulous monitoring of market trends. For those interested in staying updated, using an options trading platform can provide real-time alerts and insights into NVIDIA’s market movements.

NVIDIA, Options, Investors