A Closer Look at KLA's Options Market Dynamics

Investors with a lot of money to spend have taken a bullish stance on KLA KLAC.

And retail traders should know.

We noticed this today when the positions 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 KLAC, it often means somebody knows something is about to happen.

Today, Benzinga's options scanner spotted 9 options trades for KLA.

This isn't normal.

The overall sentiment of these big-money traders is split between 66% bullish and 33%, bearish.

Out of all of the options we uncovered, there was 1 put, for a total amount of $63,200, and 8, calls, for a total amount of $505,010.

Projected Price Targets

Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $600.0 to $860.0 for KLA over the last 3 months.

Volume & Open Interest Trends

Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for KLA's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across KLA's significant trades, within a strike price range of $600.0 to $860.0, over the past month.

KLA Call and Put Volume: 30-Day Overview

Biggest Options Spotted:

About KLA

KLA is one of the largest semiconductor wafer fabrication equipment, or WFE, manufacturers in the world. It specializes in the market segment of semiconductor process control, wherein machines inspect semiconductor wafers during research and development and manufacturing for defects and verify precise measurements. In this section of the market, KLA holds a majority share. It also has a small exposure to the etch and deposition segments of the WFE market. It counts as top customers the largest chipmakers in the world, including TSMC and Samsung.

In light of the recent options history for KLA, it's now appropriate to focus on the company itself. We aim to explore its current performance.

Current Position of KLA

• With a trading volume of 245,160, the price of KLAC is up by 3.9%, reaching $677.32.
• Current RSI values indicate that the stock is may be approaching overbought.
• Next earnings report is scheduled for 62 days from now.

Professional Analyst Ratings for KLA

In the last month, 5 experts released ratings on this stock with an average target price of $640.0.

• In a cautious move, an analyst from Susquehanna downgraded its rating to Neutral, setting a price target of $675.
• Consistent in their evaluation, an analyst from Barclays keeps a Underweight rating on KLA with a target price of $550.
• In a cautious move, an analyst from Cantor Fitzgerald downgraded its rating to Neutral, setting a price target of $625.
• An analyst from Cantor Fitzgerald has revised its rating downward to Neutral, adjusting the price target to $625.
• An analyst from JP Morgan has decided to maintain their Overweight rating on KLA, which currently sits at a price target of $725.

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 KLA, Benzinga Pro gives you real-time options trades alerts.