Bearish Sentiment Emerge in Expedia Group Options Trading

Recent trading activity suggests a shift towards bearish sentiment for Expedia Group, with 50% of trades showing pessimism. Despite this, expert price targets indicate potential for growth, leaving investors to watch closely for future developments.

Date: 12-12-2024

AI Rating: 5

The report highlights a bearish trend among large investors in Expedia Group (ticker: EXPE), with 50% of options trades reflecting a bearish sentiment. This indicates possible concerns about the stock's future performance, which could lead to downward pressure on the stock price.

Interestingly, the options activity included both puts and calls, but the total value of puts ($191,383) exceeded that of calls ($129,111). The discrepancy in the total trade prices suggests that investor sentiment is cautiously pessimistic.

Furthermore, the projected price targets for Expedia Group show a range from $175.0 to $202.5 based on recent trades, providing investors with critical insights into market expectations. While some analysts maintain positive ratings, the average target price of $198.33 suggests a potential upside, albeit tempered by the current bearish outlook from significant investors.

Price Performance and Analyst Insights: Currently, EXPE is trading at $188.5, down 0.94% with a significant trading volume of 294,978. Analysts remain divided, with Morgan Stanley rating it Equal-Weight and targeting $180, while Baird has downgraded its rating to Outperform with a price target of $225. Overall, the mixed analyst opinions reflect the uncertainty surrounding Expedia Group amid current options trading trends.

Given the bearish inclination shown by whale trades and the slight decline in stock price, this situation could prompt investors to approach Expedia Group with caution. Close monitoring of upcoming earnings reports, scheduled in 56 days, will be crucial as it may significantly impact market sentiment.

Stocks: EXPE