Mahindra & Mahindra Sees 8,867 Active Put Contracts at Rs 3200 Strike Price

Mahindra & Mahindra Ltd, a prominent player in the automobiles sector, has emerged as one of the most active stocks in the options market today, particularly in put options. The company’s underlying stock, M&M, is currently valued at Rs 3203.2, just 2.05% shy of its 52-week high of Rs 3270.95.
Today, a total of 8,867 put contracts were traded with a turnover of Rs 52.14 lakhs, indicating significant activity in this option type, which has a strike price of Rs 3200 and an expiry date set for June 26, 2025. The open interest stands at 1,135 contracts, reflecting ongoing interest among traders.

Despite this activity, M&M has underperformed its sector by 0.57% today, marking a slight decline of 0.13% in its one-day return. The stock has experienced a trend reversal after three consecutive days of gains. It is noteworthy that M&M is trading above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, suggesting a generally positive long-term trend. However, investor participation has seen a decline, with delivery volume dropping by 17.64% compared to the 5-day average.

In summary, while Mahindra & Mahindra shows strong liquidity and remains a significant player in the market, recent trends indicate a cautious approach among investors.