ABBV Options Signal Bullish Momentum: Key Strikes and Strategic Entry Points for Dec 22, 2025

• ABBV trades at $228.4, up 0.7% with intraday highs near $228.64
• Call open interest spikes at $230, $240 strikes (expiring Friday), while puts cluster at $225–$227.5
• Analysts target $242.28 for ABBV in 2026, +6% from current price

Here’s the takeaway: ABBV’s options market is painting a clear picture of upside potential with a bearish hedge. The stock is perched above key moving averages, and options data suggests a battle between bulls eyeing a breakout and bears bracing for a pullback. Let’s break it down.

Bullish Calls vs. Defensive Puts: What the Options Say

ABBV’s options chain is a chessboard of strategy. This Friday’s expiring calls show heavy open interest at $230 (669 contracts) and $240 (594 contracts), while puts cluster at $225 (827) and $227.5 (917). The 0.84 put/call ratio (for open interest) hints at a slight bearish tilt, but the call dominance at higher strikes tells a different story. Think of it like a crowd at a concert: most are buying tickets for the main stage (calls above $230), but a few are hedging with floor seats (puts near $225).

The block trade on ABBV20251017C230 (6,138 contracts) adds intrigue. It’s a big bet that ABBV will clear $230 before October 2025—possibly signaling insider confidence in the stock’s ability to push through resistance. But don’t ignore the puts: if ABBV dips below $225 (its 30D support level), those contracts could ignite a short-covering rally.

News Flow: Regulatory Risks vs. Analyst Optimism

ABBV’s recent news is a mixed bag. The partnership tweak with OSE Immunotherapeutics is a positive for R&D momentum, but the Trump-era drug pricing deals loom large. If the Most Favored Nation (MFN) agreement caps Medicare prices, ABBV’s margins could face pressure. However, analysts upgrading ABBV as a 2026 dividend growth stock (with a $242.28 target) suggest they’re betting on the company’s ability to offset these risks with blockbuster drugs like Skyrizi and Rinvoq.

Here’s the twist: the market might be pricing in the worst-case regulatory scenario already. ABBV’s current price sits just below its 200D MA ($205.5) and above all key moving averages, which is a classic setup for a breakout if positive news (like favorable MFN terms) surprises to the upside.

Actionable Trades: Calls, Puts, and Precision Entries

For options traders, the ABBV20251226C230 (this Friday’s expiry) is a high-conviction play. If ABBV breaks its intraday high of $228.64, this strike could see explosive gains. For a longer-term bet, the ABBV20260102C240 (next Friday’s expiry) offers leverage if the stock holds above $225. Both strikes align with heavy open interest, increasing liquidity for entry/exit.

Stock traders should consider entry near $225 if support holds. Set a stop-loss below $224.25 (today’s intraday low) to manage risk. The price target? Aim for $242.28, the analyst consensus. If ABBV stumbles, the ABBV20251226P225 put could offer downside protection, especially with the Trump pricing news pending.

Volatility on the Horizon

ABBV is at a crossroads. The options market is pricing in a 6–8% move by early January, and the news calendar is packed with regulatory outcomes. Bulls have the upper hand for now, but the puts at $225–$227.5 are a reminder that caution is warranted. This is a stock where patience pays off—whether you’re buying calls for a breakout or puts to hedge a larger portfolio. Keep an eye on the $230 level: it’s not just a strike price, it’s a psychological barrier that could define ABBV’s next chapter.