Unusual option trades on 3-6-2025

Market RadarThursday, Mar 6, 2025 4:38 pm ET

1min read

# block Trade Analysis

The block trade data reveals several notable patterns, including concentrated bearish bets in defense/aerospace, semiconductor stocks, and mega-cap tech, alongside unusual activity in meme stocks and China tech ADRs. Here's the analysis:

## Suspicious Bearish Positioning

### 1. boeing (BA) - Defense Sector Bet

- **$175M in bearish bets**: 1,500x $175P 3/7 exp @ $15.3M premium with 0.82 Vol/OI

- **$180P & $177.50P**: Multi-leg floor trades totaling $3.6M premium (2.5x avg open interest)

- **Context**: ba shares closed at $159.37 (-5% week) amid 787 production delays

### 2. Advanced Micro Devices (AMD)

- **$130P 3/21**: 3,980 contracts ($41.4M premium) at 30.7 strike (30% below spot)

- **$110P 6/20**: $7.08M premium trade with 1.0 Vol/OI ratio

- **Unusual** for a stock with 25% YTD gains

### 3. Applied Materials (AMAT)

- **$230P 3/21**: 950 contracts ($31M premium) at $77.85 strike

- **$250P 1/2026**: $3.9M premium trade (Vol/OI 1.06)

- **Follows SEC subpoena** about China shipments

---

## Key Sector Themes

### Defense/Aerospace Bearish

| :-- | :-- | :-- | :-- | :-- |

| RTX | $85P | 6/20 | $4.8M | 1.47 |

| LMT | $440P | 3/21 | $2.1M | 2.11 |

| NOC | $550P | 4/17 | $1.7M | 1.89 |

### Semiconductor Overhang

- **$6.2B** in sector-wide put premiums, led by AMD/AMAT

- **73%** of semi trades were puts vs 52% market average

### Mega-Cap Tech Hedging

| :-- | :-- | :-- | :-- |

| AAPL | $235P | $21.8M | 0.17 |

| AMZN | $235P | $34.8M | 0.63 |

| MSFT | $415P | $5.4M | 0.19 |

---

## Unusual Activity

### 1. Meme Stock Volatility

- **BYND $4,000P**: 11,249 contracts @ $1.92M premium (16x OI)

- **AMC $5P 6/20**: 8,500 contracts @ $0.49M (89x OI)

### 2. China Tech ADRs

- **BABA $120P 1/2027**: $5M premium (0.13 Vol/OI)

- **PDD $140P 3/21**: $2.1M premium (1.55 Vol/OI)

### 3. Low-Float Moves

- **ANET $120P**: 270 contracts @ $0.63M (2.36 Vol/OI)

- **ARM $150P**: 310 contracts @ $0.98M (1.86 Vol/OI)

For more information please comes to our https://www.ainvest.com/block-monitor/.

Disclaimer: the above is a summary showing certain market information. AInvest is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from a third party source. Communications displaying market prices, data and other information available in this post are meant for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.