Cisco Options Trading Surges Past 100,000 Contracts

Significant Surge in Cisco's Options Market Activity

Cisco Systems Inc. experienced a notable increase in options trading activity on Friday, with total volume reaching 101,940 contracts by mid-afternoon in New York, according to data compiled by Bloomberg. The trading was heavily skewed towards bullish sentiment, with call options significantly outnumbering put options.

Detailed Trading Overview

The data revealed a strong bullish bias among traders, with call volume recorded at 82,501 contracts compared to just 19,439 put contracts. This indicates that a majority of traders are speculating on a future increase in Cisco's stock price. The most actively traded contracts were long-term calls, pointing towards sustained positive expectations for the company's performance.

Key Contracts and Market Impact

The market's focus was on several long-dated call options. The May 15, 2026 $100 call was the most active, with 5,421 contracts traded. Following closely were other 2026 calls with strike prices of $99, $96, and $95, all seeing trading volumes in the thousands. This activity in out-of-the-money, long-term calls suggests that some investors are positioning for substantial long-term growth in Cisco's valuation.

Summary

The surge in Cisco's options volume, dominated by call options, reflects a strong bullish sentiment in the market. Traders and investors will be closely monitoring the company's performance and market trends to see if these long-term bullish bets materialize.

FAQ

Q: What does the high ratio of call to put options for Cisco signify?
A: It generally signifies bullish sentiment, meaning traders anticipate the stock's price will rise in the future.

Q: Which specific options were most popular among traders?
A: The most popular were long-term call options with expiration dates in 2026, particularly the May 15, 2026, $100 and $99 strike price calls.

Source: Investing.com