Option Movers｜NVDA Shows 72% Call Ratio on Morgan Stanley's Bullish Report; AVGO $250 Call Options Attract Heavy Interest

Wall Street's main indexes all ended higher on Monday(Dec 23), with both the Dow Jones Industrial Average and the Nasdaq Composite making it three straight wins, aided by gains by many of the so-called Magnificent Seven tech stocks on a holiday-thinned trading day.

Regarding the options market, a total volume of 41,147,524 contracts was traded on Monday.

Top 10 Option Volumes

Top 10: $NVDA(NVDA)$; $TSLA(TSLA)$; $AMD(AMD)$; $Palantir Technologies Inc.(PLTR)$ ; $AAPL(AAPL)$; $Broadcom(AVGO)$ ; $MSTR(MSTR)$; $VIX(VIX)$; $Tilray Inc.(TLRY)$ ; $Intel(INTC)$

Source: Tiger Trade App

Morgan Stanley on Friday issued a bullish report on AI chip companies and called Nvidia a top pick for 2025. Analyst Joseph Moore dismissed concerns over possible delays and supply constraints for products based on the company’s next-generation Blackwell chips, although he trimmed his price target on Nvidia stock to $166 from $168. Nvidia shares gained 3.7% on Monday.

A total number of 3.45 million options related to $NVIDIA(NVDA)$ was traded, of which 72% were call options. A particularly high option volume related to NVDA was seen for the $140 strike call option expiring Dec 27, with 220,243 contracts trading as of Monday. $NVDA 20241227 140.0 CALL$

Unusual Options Activity

Source: Market Chameleon

$Broadcom(AVGO)$ rose 5.5% and was the best-performing stock in the S&P 500. Including its performance Monday, the chip maker's shares have risen 108% this year and 40% over the past month. Jefferies analyst Blayne Curtis last week raised his price target on Broadcom to $300 from $225. He has a Buy recommendation on Broadcom, which recently saw its market cap surpass $1 trillion.

A total number of 525.93K options related to $Broadcom(AVGO)$ was traded, of which 76% were call options. A particularly high option volume related to AVGO was seen for the $250 strike call option expiring Dec 27, with 39,801 contracts trading as of Monday. $AVGO 20241227 250.0 CALL$

TOP Bullish & Bearish Single Stocks

This report shows stocks with the highest volume of bullish and bearish activity by option delta volume, which converts option volume to an equivalent stock volume (bought or sold).

If we take the total positive option delta volume and subtract the total negative option delta volume, we will get the net imbalance. If the net imbalance is positive, there is more bullish pressure. If the net is negative, there is more bearish pressure.

Based on option delta volume, traders sold a net equivalent of -1,247,870 shares of GOOGL stock. The largest bearish delta came from selling calls. The largest delta volume came from the 27-Dec-24 Call, with traders getting short 472,476 deltas on the single option contract.

Source: Market Chameleon

Top 10 bullish stocks: NVDA, PLTR, INTC, SMCI, FCX, AAPL, JNJ, FSLR, UBER, HAL

Top 10 bearish stocks: GOOGL, KO, MSFT, BAC, PFE, T, WMT, ADM, DOW, GOOG

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