Wayfair's Options Frenzy: What You Need to Know

Investors with a lot of money to spend have taken a bullish stance on Wayfair (NYSE:W).

And retail traders should know.

We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.

Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with W, it often means somebody knows something is about to happen.

So how do we know what these investors just did?

Today, Benzinga's options scanner spotted 8 uncommon options trades for Wayfair.

This isn't normal.

The overall sentiment of these big-money traders is split between 75% bullish and 25%, bearish.

Out of all of the special options we uncovered, 5 are puts, for a total amount of $293,435, and 3 are calls, for a total amount of $123,705.

What's The Price Target?

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $65.0 to $85.0 for Wayfair during the past quarter.

Insights into Volume & Open Interest

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Wayfair's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Wayfair's substantial trades, within a strike price spectrum from $65.0 to $85.0 over the preceding 30 days.

Wayfair Call and Put Volume: 30-Day Overview

Significant Options Trades Detected:

Symbol PUT/CALL Trade Type Sentiment Exp. Date Ask Bid Price Strike Price Total Trade Price Open Interest Volume
W PUT TRADE BULLISH 12/20/24 $19.45 $19.3 $19.35 $80.00 $96.7K 1 100
W PUT SWEEP BULLISH 12/20/24 $19.45 $19.3 $19.3 $80.00 $96.5K 1 150
W CALL TRADE BEARISH 12/20/24 $9.7 $9.6 $9.64 $80.00 $48.2K 2.1K 51
W CALL SWEEP BEARISH 11/15/24 $14.15 $13.9 $13.9 $65.00 $47.2K 42 34
W PUT SWEEP BULLISH 11/15/24 $22.8 $22.7 $22.7 $85.00 $43.1K 1 20

About Wayfair

Wayfair engages in e-commerce in the United States (87% of 2023 sales), Canada, the United Kingdom, Germany, and Ireland. At the end of 2023, the firm offered more than 30 million products from more than 20,000 suppliers under the brands Wayfair, Joss & Main, AllModern, Birch Lane, and Perigold. Its offerings include furniture, everyday and seasonal decor, decorative accents, housewares, and other home goods. Wayfair was founded in 2002 and began trading publicly in 2014.

Current Position of Wayfair Currently trading with a volume of 1,099,464, the W's price is up by 0.57%, now at $67.48. RSI readings suggest the stock is currently may be approaching overbought. Anticipated earnings release is in 73 days. What Analysts Are Saying About Wayfair

Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $64.0.

An analyst from TD Cowen persists with their Hold rating on Wayfair, maintaining a target price of $55. An analyst from Wedbush has revised its rating downward to Outperform, adjusting the price target to $70. Maintaining their stance, an analyst from Bernstein continues to hold a Market Perform rating for Wayfair, targeting a price of $55. Maintaining their stance, an analyst from RBC Capital continues to hold a Sector Perform rating for Wayfair, targeting a price of $65. An analyst from Needham has revised its rating downward to Buy, adjusting the price target to $75.

Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Wayfair options trades with real-time alerts from Benzinga Pro.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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