General Motors’s Options: A Look at What the Big Money is Thinking – General Motors (NYSE:GM)

Investors with a lot of money to spend have taken a bearish stance on General Motors GM.

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 GM, 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 10 uncommon options trades for General Motors.

This isn’t normal.

The overall sentiment of these big-money traders is split between 20% bullish and 80%, bearish.

Out of all of the special options we uncovered, 3 are puts, for a total amount of $129,600, and 7 are calls, for a total amount of $358,310.

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 $25.0 to $37.0 for General Motors during the past quarter.

Volume & Open Interest Development

In terms of liquidity and interest, the mean open interest for General Motors options trades today is 1877.38 with a total volume of 2,264.00.

In the following chart, we are able to follow the development of volume and open interest of call and put options for General Motors’s big money trades within a strike price range of $25.0 to $37.0 over the last 30 days.

General Motors Option Volume And Open Interest Over Last 30 Days

Significant Options Trades Detected:

Symbol PUT/CALL Trade Type Sentiment Exp. Date Strike Price Total Trade Price Open Interest Volume
GM CALL SWEEP BEARISH 10/18/24 $30.00 $133.6K 14 167
GM CALL TRADE BULLISH 03/15/24 $37.00 $70.8K 3.3K 414
GM PUT TRADE BEARISH 01/12/24 $37.00 $65.4K 133 1.2K
GM CALL SWEEP BEARISH 03/15/24 $30.00 $35.8K 5.8K 64
GM CALL SWEEP BEARISH 10/18/24 $32.00 $33.4K 17 1

About General Motors

General Motors Co. emerged from the bankruptcy of General Motors Corp. (old GM) in July 2009. GM has eight brands and operates under four segments: GM North America, GM International, Cruise, and GM Financial. The United States now has four brands instead of eight under old GM. The company regained its U.S. market share leader crown in 2022, after losing it to Toyota due to the chip shortage in 2021, with share up 170 basis points to 16.4%, a full percentage point ahead of Toyota. GM’s Cruise autonomous vehicle arm has previously done driverless geofenced AV robotaxi services in San Francisco and other cities but stopped in late 2023 after an accident. GM owns over 80% of Cruise. GM Financial became the company’s captive finance arm in October 2010 via the purchase of AmeriCredit.

After a thorough review of the options trading surrounding General Motors, we move to examine the company in more detail. This includes an assessment of its current market status and performance.

Current Position of General Motors

  • With a trading volume of 4,219,281, the price of GM is up by 1.14%, reaching $36.33.
  • Current RSI values indicate that the stock is may be overbought.
  • Next earnings report is scheduled for 28 days from now.

Expert Opinions on General Motors

A total of 3 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $59.43333333333333.

  • An analyst from Citigroup has decided to maintain their Buy rating on General Motors, which currently sits at a price target of $95.
  • Showing optimism, an analyst from Mizuho upgrades its rating to Buy with a revised price target of $42.
  • An analyst from HSBC downgraded its action to Buy with a price target of $41.

Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for General Motors with Benzinga Pro for real-time alerts.

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