Decoding KKR's Options Activity: What's the Big Picture?

Investors with a lot of money to spend have taken a bearish stance on KKR KKR.

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 KKR, 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 21 uncommon options trades for KKR.

This isn’t normal.

The overall sentiment of these big-money traders is split between 28% bullish and 71%, bearish.

Out of all of the special options we uncovered, 16 are puts, for a total amount of $1,221,906, and 5 are calls, for a total amount of $315,882.

Expected Price Movements

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $100.0 to $125.0 for KKR over the recent three months.

Analyzing Volume & Open Interest

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in KKR’s options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to KKR’s substantial trades, within a strike price spectrum from $100.0 to $125.0 over the preceding 30 days.

KKR 30-Day Option Volume & Interest Snapshot

Significant Options Trades Detected:

About KKR

KKR is one of the world’s largest alternative asset managers, with $624.4 billion in total managed assets, including $505.7 billion in fee-earning AUM, at the end of September 2024. The company has two core segments: asset management (which includes private markets-private equity, credit, infrastructure, energy, and real estate-and public markets-primarily credit and hedge/investment fund platforms) and insurance (following the firm’s initial investment in, and then ultimate purchase of, Global Atlantic Financial Group, which is engaged in retirement/annuity and life insurance lines as well as reinsurance).

Having examined the options trading patterns of KKR, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance

Present Market Standing of KKR

• With a volume of 8,140,315, the price of KKR is up 5.42% at $102.83.
• RSI indicators hint that the underlying stock may be approaching oversold.
• Next earnings are expected to be released in 22 days.

What Analysts Are Saying About KKR

A total of 3 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $161.67.

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* An analyst from Wells Fargo has elevated its stance to Overweight, setting a new price target at $141.
* An analyst from B of A Securities has decided to maintain their Buy rating on KKR, which currently sits at a price target of $194.
* Consistent in their evaluation, an analyst from JMP Securities keeps a Market Outperform rating on KKR with a target price of $150.

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 KKR options trades with real-time alerts from Benzinga Pro.