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Big Money Sees Opportunity in Booking Holdings' Options

April 25, 2023 - As the travel industry continues to recover from the pandemic, Booking Holdings Inc. (BKNG) has been a major beneficiary. The company's options market is now reflecting this optimism, with big money players taking a bullish stance on the stock.

According to data from Benzinga Pro, the 30-day at-the-money put/call volume ratio for Booking Holdings is currently at 0.43. This means that for every one put option traded, nearly two call options have been bought. This is a significant shift from the start of the year, when the ratio was closer to 0.6.

One of the most notable trends in Booking Holdings' options market is the surge in call buying. The 30-day at-the-money call volume has increased by over 20% in the past month, while the put volume has decreased by nearly 15%. This suggests that big money players are becoming increasingly optimistic about the company's future prospects.

One possible catalyst for this optimism is the ongoing recovery in the travel industry. As more people become comfortable traveling again, Booking Holdings' online travel agency business is likely to benefit. The company's recent earnings report also showed a significant increase in revenue, which may have contributed to the surge in call buying.

Another factor that could be driving the big money's optimism is the company's expanding presence in the travel technology space. Booking Holdings has been investing heavily in new technologies, such as artificial intelligence and machine learning, to improve its customers' travel experiences. This could lead to increased revenue and profitability in the long term.

In terms of specific trading activity, the most active options contracts for Booking Holdings are the May 20 and May 25 calls. These contracts have seen significant trading volume and open interest in recent days, suggesting that many traders are betting on the stock's continued upward momentum.

Overall, the big money's bullish stance on Booking Holdings' options market suggests that the company's stock could continue to trend higher in the coming weeks and months. As always, investors should use caution and do their own research before making any investment decisions.