High-rolling investors have positioned themselves bearish on Southern (NYSE:SO), and it's important for retail traders to take note. \This activity came to our attention today through Benzinga's tracking of publicly available options data. The identities of these investors are uncertain, but such a significant move in SO often signals that someone has privileged information.
Today, Benzinga's options scanner spotted 10 options trades for Southern. This is not a typical pattern.
The sentiment among these major traders is split, with 20% bullish and 50% bearish. Among all the options we identified, there was one put, amounting to $31,080, and 9 calls, totaling $561,860.
Predicted Price Range
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $40.0 to $77.5 for Southern over the recent three months.
Insights into Volume & Open Interest
Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Southern's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Southern's significant trades, within a strike price range of $40.0 to $77.5, over the past month.
Southern Call and Put Volume: 30-Day Overview
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| SO | CALL | SWEEP | BEARISH | 07/19/24 | $18.5 | $18.3 | $18.4 | $60.00 | $121.4K | 81 | 113 |
| SO | CALL | TRADE | NEUTRAL | 07/26/24 | $30.7 | $27.1 | $28.7 | $50.00 | $74.6K | 0 | 92 |
| SO | CALL | TRADE | NEUTRAL | 07/26/24 | $30.7 | $27.1 | $28.6 | $50.00 | $74.3K | 0 | 66 |
| SO | CALL | TRADE | BEARISH | 07/26/24 | $30.7 | $28.6 | $28.6 | $50.00 | $71.5K | 0 | 40 |
| SO | CALL | TRADE | BEARISH | 06/07/24 | $19.4 | $18.5 | $18.5 | $60.00 | $48.1K | 92 | 92 |
About Southern
Southern is one of the largest utilities in the U.S. The company serves 9 million customers with vertically integrated electric utilities in three states and natural gas distribution utilities in four states. It owns 50 gigawatts of rate-regulated generating capacity, primarily for serving customers in Georgia, Alabama, and Mississippi. Subsidiary Southern Power owns 13 gigawatts of natural gas generation and renewable energy across the U.S. and sells the electricity primarily under long-term contracts.
Having examined the options trading patterns of Southern, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance
Current Position of Southern
- With a volume of 2,410,402, the price of SO is down -0.74% at $78.06.
- RSI indicators hint that the underlying stock is currently neutral between overbought and oversold.
- Next earnings are expected to be released in 55 days.
What The Experts Say On Southern
In the last month, 3 experts released ratings on this stock with an average target price of $81.0.
- Maintaining their stance, an analyst from Morgan Stanley continues to hold a Equal-Weight rating for Southern, targeting a price of $74.
- An analyst from Argus Research has decided to maintain their Buy rating on Southern, which currently sits at a price target of $90.
- An analyst from B of A Securities persists with their Neutral rating on Southern, maintaining a target price of $79.
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 Southern options trades with real-time alerts from Benzinga Pro.