AMD closed at $483.01, edging up 0.02 %.
A massive $6.72 million call purchase dominated AMD’s options flow, targeting the $500.00 strike by September 2026, signaling a powerful long-term bullish conviction. While a smaller $1.17 million put buy added a note of caution, the overall large-trade activity leaned decisively positive, with net bullish premium reaching $5.02 million.
>>>Click to claim your commission-free cards before trading!
Options Indicators
AMD’s implied volatility is 58.87%, while its IV percentile stands at 37.85%, which places current volatility in a broadly neutral zone rather than at an extreme. In other words, although the absolute IV level is not low, relative to its own recent history AMD’s options are not especially expensive or especially cheap. The IV/HV ratio of 0.73 further suggests implied volatility is running below historical realized volatility, indicating current option pricing is not stretched and may be somewhat reasonable from a volatility-pricing perspective. The Call/Put volume ratio is 1.17.
Large Trades
A CALL purchase worth $6.72 million was the largest displayed large trade, with 2,000 contracts bought at the $500.00 strike for expiration on 2026-09-18. With AMD referenced at $483.01, this call was out of the money at the time of the trade, making it a clear bullish directional bet that targets upside over a longer-dated horizon. The buyer was willing to pay substantial premium for convex upside exposure, which typically signals expectations for a meaningful advance in the stock rather than a short-term hedge.
A PUT buy worth $1.17 million was the other displayed large trade, consisting of 2,372 contracts purchased at the $400.00 strike for expiration on 2026-09-18. This put was also out of the money versus the $483.01 reference price, indicating a bearish position that profits if AMD weakens materially before expiration. Strategically, this looks like either downside speculation or protective hedging, but in either case it reflects demand for downside exposure through long-dated puts.
Overall, large-trade sentiment was bullish, with total bullish flow at $6.85 million versus total bearish flow at $1.83 million, leaving a net bullish difference of $5.02 million. The directional takeaway is clearly positive: upside call buying dominated the tape, led by the much larger long-dated $500.00 call purchase, while bearish activity was present but notably smaller and concentrated in put buying. That mix suggests the market’s larger traders were willing to pay for both upside participation and some downside protection, but the balance of conviction leaned decisively toward a bullish outlook for AMD.
Strategy Reference
For premium sellers looking to align with the bullish sentiment but avoid assignment, selling the $400.00 put for September 2026 could capture rich long-dated premium with a wide buffer below the current price, while a bull call spread targeting the $500.00 strike area offers a defined-risk alternative to outright call buying.
Comments