Affirm Holdings, Inc. (AFRM) stock surged 6.58% on Friday, with the shares soaring during the intraday trading session.
The rally in Affirm shares coincided with a significant spike in bullish options activity on the stock. Option traders exchanged 32,756 call options on AFRM, over 1.3 times the expected trading volume. The implied volatility for Affirm options also jumped by nearly 4 points to 76.3%.
A surge in call option volume and elevated implied volatility levels often signal increased bullish sentiment and expectations of further upside for the underlying stock in the near term. The heightened demand for Affirm call options suggests traders are betting on continued gains for the fintech company's shares.
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