Smart Money Makes Bearish Moves on Visa Options

Recently, major financial players have taken a noticeable bearish position regarding Visa (NYSE: V). An analysis of Visa's options trading history revealed 14 unusual trades, indicating a shift in sentiment among traders.

Upon examining the data, we discovered that 21% of these traders retained a bullish outlook, while a significant 57% displayed bearish tendencies. Specifically, of the trades identified, 8 were put options, totaling $375,521 in value. In contrast, there were 6 call options valued at $278,070.

Expected Price Movements

The trading activity suggests that significant investors are targeting a price range for Visa between $260.00 and $310.00 over the upcoming three months.

Volume and Open Interest Analysis

Looking at the liquidity and market interest, the average open interest for Visa's options trades stands at 681.27, with a total trading volume of 1,760.00. A chart displaying the development of volume and open interest for Visa's call and put options trades within a strike price range from $260.00 to $310.00 over the last 30 days can provide additional insights.

Overview of Visa Call and Put Volume: 30-Day Snapshot

Data over the past month shows notable variations in the trading volume of call and put options associated with Visa. The increased activity indicates that traders are positioning themselves for potential price changes.

Largest Observed Options Trades

Symbol	PUT/CALL	Trade Type	Sentiment	Expiration Date	Ask	Bid	Price	Strike Price	Total Trade Price	Open Interest	Volume
V	PUT	SWEEP	BEARISH	12/20/24	$7.8	$7.75	$7.8	$280.00	$121.6K	1.1K	161
V	CALL	TRADE	BEARISH	12/18/26	$56.5	$56.0	$56.0	$265.00	$56.0K	127	10
V	CALL	TRADE	NEUTRAL	11/15/24	$5.35	$5.2	$5.28	$287.50	$52.2K	140	118
V	CALL	SWEEP	BEARISH	11/01/24	$4.55	$4.45	$4.5	$285.00	$49.9K	461	289
V	CALL	TRADE	NEUTRAL	03/21/25	$15.5	$15.25	$15.39	$285.00	$49.2K	293	32

Understanding Visa

Visa is known as the largest payment processor globally. For the fiscal year 2023, the company processed nearly $15 trillion in total transaction volume. Operating in over 200 countries, Visa facilitates transactions in more than 160 currencies and is capable of processing over 65,000 transactions per second.

Given the recent movements in Visa's options market, it is essential to evaluate the company's current position.

Current Status of Visa

• With a trading volume recorded at 2,698,419, Visa's stock price has decreased by 0.81%, landing at $281.47.
• Current Relative Strength Indicator (RSI) values suggest that the stock may be approaching an overbought status.
• The next earnings report is expected in five days.

Professional Analyst Ratings for Visa

In the past month, five analysts have issued ratings on Visa, setting an average target price of $316.00.

Recent positions on Visa by various analysts include:

• A Morgan Stanley analyst maintains an Overweight rating with a price target of $322.00.
• BMO Capital also holds an Outperform rating and targets $310.00 for Visa.
• Macquarie continues its Outperform rating, with a price target of $300.00.
• Baird has an Outperform rating for Visa, projecting a target of $330.00.
• Oppenheimer has lowered its rating to Outperform, adjusting the target price to $318.00.

Investing in options can be risky, but it can also yield substantial returns. Experienced traders often navigate these risks through continuous learning, strategic adjustments, applying varying indicators, and keeping abreast of market trends. For updates on Visa's options trades, consider real-time alerts.

Visa, Options, Trading