ARM closed at USD 322.90, a 17.16% rise from the previous close.
Large options trades in ARM revealed a conflicted market, with bullish structured spreads coexisting alongside heavier bearish call-selling flow. A bull call spread with a net debit of $192 thousand and a dual call purchase worth $426 thousand highlighted selective upside speculation. However, the overall block-order picture was dominated by larger call-selling activity, suggesting institutional traders were more inclined to fade the rally, collect premium, or position for the stock to stay below higher strikes rather than chase a breakout.
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Options Indicators
ARM’s implied volatility stands at 82.59%, and with an IV percentile of 73.71%, current option volatility is in the elevated zone, indicating that options are priced expensively relative to the stock’s own recent volatility profile. The IV/HV ratio of 1.25 further suggests implied volatility is running above historical realized volatility, reinforcing the view that the market is embedding a relatively rich premium into ARM options at current levels.
The Call/Put volume ratio is 2.63.
Large Trades
A bull call spread with a net debit of $192 thousand was one of the standout structured trades, built by buying 1,200 September 25, 2026 $335 calls and selling 1,200 September 25, 2026 $345 calls. With both strikes still out of the money versus the $322.90 spot reference, this is a defined-risk bullish spread that expresses upside expectations while capping the maximum gain above $345.00. The net debit shows the trader was willing to pay premium for bullish exposure, suggesting a moderately constructive view rather than an aggressive breakout chase. Another notable combination was a same-direction dual call purchase with a net debit of $426 thousand, consisting of long 1,194 September 25, 2026 $365 calls and long 1,194 September 25, 2026 $380 calls. Since both legs are call buys and both strikes are out of the money, this is best read as a directional upside volatility bet, where the trader is seeking a large bullish move and is willing to spend premium for convex exposure across higher strike levels.
Overall, the large-trade flow leans bearish. Although there were bullish structures present, including the bull call spread and the upside call-buying combination, the broader bulk-order picture was outweighed by larger call-selling activity, indicating that market participants were more active in fading upside, collecting premium, or positioning for ARM to remain below higher strike levels. Taken together, the block flow suggests a cautious-to-bearish institutional stance, with selective upside speculation unable to overturn the dominant pressure from bearish call supply.
Strategy Reference
Given the elevated IV percentile of 73.71% and bearish call-supply dominance, premium sellers may consider an out-of-the-money credit call spread—for instance, selling a September 25, 2026 $380 call and buying a $400 call to define risk—rather than posting large uncovered margin, reflecting a low-assignment-probability strike in the current elevated-volatility regime.