Decoding Costco Wholesale Options Activity: What Does the Big Picture Look Like? – Costco Wholesale (NASDAQ:COST)

Financial giants have made a striking downward move in Costco Wholesale. Our analysis of the options history for Costco Wholesale COST 20 unusual trades uncovered.

Upon closer inspection, we found that 30% of traders were bullish, while 45% showed bearish tendencies. Of all the trades we discovered, 8 were puts worth $300,550 and 12 were calls worth $465,691.

Projected price targets

After evaluating the trading volumes and open interest, it is evident that major market players are focusing on a price range between $585.0 and $930.0 for Costco Wholesale, which includes the last three months.

Volume and open interest development

Looking at volume and open interest is an insightful way to conduct due diligence on a stock.

You can use this data to track liquidity and interest in Costco Wholesale options for a specific strike price.

Below we can observe the evolution of volume and open interest of calls and puts respectively for the total whale activity of Costco Wholesale within a strike price range of $585.0 to $930.0 over the last 30 days.

Costco Wholesale options volume and open interest over the last 30 days

Biggest options discovered:

About Costco Wholesale

Costco operates a membership-based, no-frills retail model based on offering a select assortment of products in bulk at bargain prices. The company avoids maintaining costly product displays by keeping its inventory on pallets and limits distribution costs by keeping its inventory in the warehouse at the point of sale. Costco's frugal cost structure allows the company to offer its goods at lower prices than competitors, resulting in high sales per warehouse and allowing the retailer to earn high profits on thin margins. Costco operates over 600 warehouses in the United States and has over 60% market share in the domestic warehouse club industry. Internationally, Costco operates an additional 270 warehouses, primarily in markets such as Canada, Mexico, Japan, and the United Kingdom.

Following our analysis of options activity related to Costco Wholesale, let's now take a closer look at the performance of the company itself.

Current market position of Costco Wholesale

• With a trading volume of 767,236, the price of COST increased by 0.25% to reach $902.97.
• Current RSI readings suggest the stock may be overbought.
• The next results report is scheduled for in 6 days.

What the experts say about Costco Wholesale

In the past month, 5 industry analysts have shared their insights on this stock, suggesting an average price target of $928.00.

Unusual options activity detected: Smart money on the move

Benzinga Edge's Unusual Options board identifies potential market movers before they happen. See what positions the big money is taking in your favorite stocks. Click here to access. * An analyst at Stifel has decided to maintain his “Buy” rating on Costco Wholesale, which currently has a price target of $915. * An analyst at Telsey Advisory Group has decided to maintain his “Outperform” rating on Costco Wholesale, which currently has a price target of $925. * An analyst at Telsey Advisory Group maintains his view and maintains the “Outperform” rating on Costco Wholesale with a price target of $925. * An analyst at Morgan Stanley maintains his “Overweight” rating on Costco Wholesale and maintains the price target of $950. * An analyst at Evercore ISI Group maintains his view and maintains the “Outperform” rating on Costco Wholesale with a price target of $925.

Options trading carries greater risks but also offers the potential for greater rewards. Experienced traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing a variety of indicators, and considering market dynamics. Stay on top of the latest Costco Wholesale options trades and get real-time alerts with Benzinga Pro.