Spotlight on ServiceNow: Analyzing the Surge in Options Activity
Deep-pocketed investors have adopted a bearish approach towards ServiceNow (NYSE:NOW), and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in NOW usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 38 extraordinary options activities for ServiceNow. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 26% leaning bullish and 57% bearish. Among these notable options, 12 are puts, totaling $703,372, and 26 are calls, amounting to $1,590,085.
Predicted Price Range
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $400.0 to $1140.0 for ServiceNow over the recent three months.
Volume & Open Interest Trends
Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in ServiceNow's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to ServiceNow's substantial trades, within a strike price spectrum from $400.0 to $1140.0 over the preceding 30 days.
ServiceNow Call and Put Volume: 30-Day Overview
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| NOW | PUT | SWEEP | BEARISH | 07/05/24 | $15.8 | $13.9 | $15.01 | $785.00 | $300.0K | 229 | 18 |
| NOW | CALL | SWEEP | BULLISH | 01/16/26 | $48.3 | $43.5 | $48.3 | $1140.00 | $241.5K | 23 | 0 |
| NOW | CALL | TRADE | NEUTRAL | 01/17/25 | $107.8 | $102.3 | $105.1 | $740.00 | $157.6K | 196 | 0 |
| NOW | CALL | SWEEP | BEARISH | 08/16/24 | $40.7 | $40.0 | $40.61 | $780.00 | $142.3K | 750 | 12 |
| NOW | CALL | SWEEP | BULLISH | 06/20/25 | $23.0 | $22.1 | $23.0 | $1140.00 | $87.4K | 495 | 36 |
About ServiceNow
ServiceNow Inc provides software solutions to structure and automate various business processes via a SaaS delivery model. The company primarily focuses on the IT function for enterprise customers. ServiceNow began with IT service management, expanded within the IT function, and more recently directed its workflow automation logic to functional areas beyond IT, notably customer service, HR service delivery, and security operations. ServiceNow also offers an application development platform as a service.
Where Is ServiceNow Standing Right Now?
- Currently trading with a volume of 650,693, the NOW's price is down by -0.15%, now at $785.46.
- RSI readings suggest the stock is currently may be overbought.
- Anticipated earnings release is in 23 days.
What The Experts Say On ServiceNow
Over the past month, 1 industry analysts have shared their insights on this stock, proposing an average target price of $900.0.
- An analyst from Needham has revised its rating downward to Buy, adjusting the price target to $900.
Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.
If you want to stay updated on the latest options trades for ServiceNow, Benzinga Pro gives you real-time options trades alerts.