WMT Options Signal Bullish Momentum: Target $118 Breakout as Dark Store Strategy Gains Traction

• Walmart (WMT) surges 1.5% to $114.10, breaking above its 200-day moving average ($98.04) and hitting a 52-week high.
• Options market shows heavy call open interest at $115 and $118 strikes for Friday expiration, while puts dominate at $99 and $91.
• Recent news highlights Walmart’s $900B valuation, dark store experiments, and AI-driven e-commerce growth—fueling investor optimism.

The big picture? WMT’s options flow and technicals align with a strong bullish bias. Here’s why the $115–$118 range is critical for traders today.Bullish Sentiment Locked in OTM Calls: What the Options Flow Reveals

Let’s start with the numbers: this Friday’s options chain shows 1,721 open interest at the $115 call and 1,331 at $118. That’s not random—it’s a signal. Big players are positioning for a short-term pop, likely betting on Walmart’s recent momentum. The next Friday’s $115 call (OI: 640) reinforces this, suggesting the bullish thesis extends beyond the immediate horizon.

On the put side, the $99 and $91 strikes dominate with 8,161 and 7,088 open interest respectively. But here’s the catch: those puts are 15–25% out of the money. They’re not about near-term panic—they’re hedging against a rare, extreme downturn. The put/call ratio (0.89 for open interest) tilts firmly bullish, with calls outweighing puts by 11%. This isn’t a crowded trade; it’s a calculated bet on upside.

Dark Stores and AI: Why the News Stack Up with Options Sentiment

Walmart’s recent headlines tell a story of strategic reinvention. The dark store experiments and AI-powered shopping assistant (Sparky) aren’t just buzzwords—they’re tangible moves to capture urban, high-income shoppers. Combine that with a 25% e-commerce surge and a $350M dairy plant to cut costs, and you’ve got a recipe for margin expansion.

But here’s the twist: the market isn’t just reacting to today’s news. The $900B valuation milestone and Black Friday success show Walmart is winning the omnichannel war. Retail analysts may debate margins, but options traders are voting with their wallets. The $115 call activity? That’s money betting on a stock that’s already priced in much of this optimism—and still has room to run.

Actionable Trade Ideas: Calls, Stock Entries, and Risk Zones

For options traders, the most compelling setup is the WMT20251205C115 (Friday expiration). With the stock trading at $114.10, this $115 call is just 0.9% out of the money. A close above $114.50 today could trigger a cascade of stop-loss buying, pushing the stock toward $118. If the rally continues, the WMT20251212C116 (next Friday) becomes a safer play with more time decay cushion.

For stock buyers, the key entry zone is $104.72 (middle Bollinger Band). A rebound here would confirm the 200-day MA as support. Aggressive traders could target $115 as a first profit target, with a stop-loss below $102.26 (30D support). Conservative players might consider a put spread at $106 and $99 to hedge downside while riding the call wave.

Volatility on the Horizon: What to Watch Next

Walmart’s options flow and fundamentals are in sync, but don’t ignore the risks. The RSI at 70.7 hints at overbought territory, and the 39× forward P/E suggests some overvaluation. However, the dark store rollout and e-commerce tailwinds could justify those multiples. Keep an eye on the $118 resistance level—break that, and the stock could test $125 by year-end. For now, the message is clear: WMT is in a bullish sweet spot, and the options market is cheering louder than ever.