Johnson & Johnson Options Trading: Understanding Market Sentiment

Recently, significant financial institutions have made notable bearish moves concerning Johnson & Johnson (NYSE: JNJ). Our detailed examination of options trading history for Johnson & Johnson unveiled ten unusual trades that prompted further investigation.

Upon analyzing these trades, we discovered that 20% of the traders expressed a bullish outlook, while a striking 80% demonstrated bearish tendencies. Among the trades identified, six were put options amounting to a total value of $272,347, whereas four call options were valued at $162,746.

Predicted Price Range

The trading activities suggest that large investors are targeting a price range of $130.00 to $180.00 for Johnson & Johnson over the last three months. This range indicates varying expectations for the company's performance in the near future.

Volume & Open Interest Trends

Examining the metrics of volume and open interest is vital for anyone involved in options trading. These indicators reveal the liquidity and the level of investor interest in Johnson & Johnson's options at specific strike prices. The following data showcases the changes in volume and open interest for both calls and puts, linked to substantial trades within the $130.00 to $180.00 strike price range over the past 30 days.

Johnson & Johnson Call and Put Volume: 30-Day Overview

Volume dynamics certainly impact traders' strategies and can guide them in making informed decisions.

Significant Options Trades Detected:

Symbol	PUT/CALL	Trade Type	Sentiment	Exp. Date	Ask	Bid	Price	Strike Price	Total Trade Price	Open Interest	Volume
JNJ	CALL	SWEEP	BEARISH	02/21/25	$5.8	$5.55	$5.55	$145.00	$55.5K	140	102
JNJ	PUT	SWEEP	BEARISH	02/21/25	$9.85	$9.65	$9.85	$155.00	$52.2K	3.4K	105
JNJ	PUT	TRADE	BULLISH	02/21/25	$10.25	$10.0	$10.0	$155.00	$50.0K	3.4K	205
JNJ	PUT	TRADE	BEARISH	02/21/25	$9.9	$9.65	$9.9	$155.00	$49.5K	3.4K	155
JNJ	PUT	TRADE	BEARISH	02/21/25	$9.9	$9.7	$9.9	$155.00	$49.5K	3.4K	52

About Johnson & Johnson

Johnson & Johnson is the largest and most diversified healthcare company in the world. It operates through two main divisions: pharmaceuticals and medical devices. Following the spin-off of the consumer business, Kenvue, in 2023, these two divisions now account for the entirety of the firm's sales. The pharmaceutical division focuses on various therapeutic areas like immunology, oncology, neurology, pulmonary conditions, cardiology, and metabolic diseases. Notably, over half of the company’s revenue originates from the United States.

Given the current options trading landscape surrounding Johnson & Johnson, it is essential to take a closer look at the company’s present standing.

Current Position of Johnson & Johnson

• Currently, Johnson & Johnson boasts a trading volume of 3,379,283 shares, with a slight decline of -0.06%, resulting in a price of $146.15.
• The Relative Strength Index (RSI) indicates that the stock may be in an oversold position.
• The next earnings announcement is expected in 40 days, which could further influence market sentiment.

Professional Analyst Ratings for Johnson & Johnson

Recently, three market experts have provided ratings for Johnson & Johnson, revealing a consensus target price of $177.00.

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A seasoned options trader with 20 years of experience highlights a one-line chart technique indicating optimal buy and sell points. Following his trades could yield an average profit of 27% every 20 days. Click here for access. * Staying consistent with their view, an analyst from Citigroup has maintained a "Buy" rating for Johnson & Johnson, setting a target price of $175. However, B of A Securities has adopted a more conservative stance, downgrading their rating to "Neutral" with a target of $166. Reflecting uncertainties, Wolfe Research has also lowered its rating to "Outperform" with a revised target price of $190.

Options trading carries both significant risks and potential rewards. Savvy traders mitigate these risks by continuously educating themselves, adapting their strategies, monitoring various indicators, and staying alert to market changes. It is advisable to remain updated on the latest Johnson & Johnson options trades for real-time insights.

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