Okay little buddy, so there's this big company called McDonald's, you know, where we sometimes go to eat burgers and fries? Well, there are people called investors who like to buy and sell pieces of companies, kind of like how you collect stickers and trade them with your friends.
Lately, some investors have been buying and selling something called 'options' which gives them the right, but not the obligation, to buy or sell shares of McDonald's at a specific price on a specific date. This might sound a bit complicated, but it's just like having a special coupon to buy something at a specific time and price.
Now, some people think these investors might know something special about McDonald's that we don't, like if they're going to make a new burger or something. That's why they're buying and selling these options.
To help us understand what's happening, there's a website called Benzinga that keeps track of all this options stuff for McDonald's. They tell us what the investors are doing and what they think about the future of McDonald's.
But remember, it's always good to ask an adult or someone who knows more about these things if you have questions. It's fun to learn new stuff, isn't it?
Read from source...
a high level of manipulation. They used techniques like spreading inconsistent info across a range of publications to make it look 'independent'; making false and exaggerated claims; projecting their own manipulations onto others, etc. They didn't seem to care about the truth or the impact on people's lives. Their goal seemed to be to deceive and control.
Based on the recent unusual options activity for McDonald's (MCD), retail traders should take note. The identities of these major investors are uncertain, but such a significant move in MCD often signals privileged information. Among these major traders, the sentiment is split, with 44% bullish and 44% bearish. This unusual distribution warrants attention. After evaluating trading volumes and open interest, it's evident that market movers are focusing on a price band between $190.0 and $292.5 for McDonald's over the last three months. Assessing volume and open interest is crucial in options trading, as these metrics shed light on the liquidity and investor interest in McDonald's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to McDonald's substantial trades, within a strike price spectrum from $190.0 to $292.5 over the preceding 30 days. In light of the recent options history for McDonald's, it's now appropriate to focus on the company itself. McDonald's is the largest restaurant owner-operator in the world, with 2023 system sales of $130 billion across nearly 42,000 stores and 115 markets. The firm earns roughly 60% of its revenue from franchise royalty fees and lease payments, with most of the remainder coming from company-operated stores across its three core segments: the United States, internationally operated markets, and international developmental/licensed markets. In the last month, three experts released ratings on this stock, with an average target price of $296.6666666666667.