ARM Stock Sees Unusual Options Activity as Shares Trade at $124.08

By TrendSpider Editor

Unusual options flow is drawing attention to Arm Holdings plc, with two notable contracts flagged totaling $372,743.30 in combined premium. ARM shares are currently trading at $124.08, up 1.94% on the session, sitting in the middle of a wide 52-week range spanning $80.00 to $183.16. The positioning

ARM Stock Sees Unusual Options Activity as Shares Trade at $124.08

Unusual options flow is drawing attention to Arm Holdings plc, with two notable contracts flagged totaling $372,743.30 in combined premium. ARM shares are currently trading at $124.08, up 1.94% on the session, sitting in the middle of a wide 52-week range spanning $80.00 to $183.16. The positioning across both a near-term call and a long-dated put suggests traders are placing directional bets on opposite ends of the time spectrum.

Key Drivers of the ARM Stock Move

• Main Catalyst: Two unusual options contracts were flagged on ARM today, one a PUT at the $65 strike expiring January 2028 with a $342,000 premium and 210% open interest, and one a CALL at the $118 strike expiring March 13, 2026 with a $30,743.30 premium and 247% open interest. Both contracts showed outsized volume relative to existing open interest, flagging elevated conviction from options traders on both sides of the trade.
• Bull Case: The in-the-money call at the $118 strike expiring just nine days out on March 13, 2026 carried 247% open interest, suggesting aggressive near-term bullish positioning with the stock already trading above that strike at $124.08. The current session gain of 1.94% adds momentum to that thesis.
• Bear Case: The dominant contract by premium is the $342,000 put at the $65 strike, representing a bet that ARM could fall more than 47% from its current price of $124.08 over the next two years. While deeply out of the money, the 210% open interest ratio and the sheer size of 500 contracts signal this is not a casual hedge.

The divergence between a short-dated in-the-money call and a long-dated deep out-of-the-money put reflects a market in which traders are simultaneously chasing near-term upside momentum and hedging against a more severe longer-term drawdown scenario. ARM has already pulled back significantly from its 52-week high of $183.16, and the stock remains well above its 52-week low of $80.00. The dual positioning could reflect a broader uncertainty about the sustainability of ARM's valuation as the AI semiconductor cycle matures, while short-term bulls look to capitalize on any immediate price continuation.

ARM Unusual Options Activity

• Contract 1: PUT | Strike: $65 | Expiry: January 21, 2028 | Volume/Size: 500 contracts | Open Interest: 210% of normal | Status: Out of the Money
• Contract 2: CALL | Strike: $118 | Expiry: March 13, 2026 | Volume/Size: 37 contracts | Open Interest: 247% of normal | Status: In the Money

Total unusual contracts flagged: 2. Total combined premium across both contracts: $372,743.30. The put contract accounts for the overwhelming majority of premium flow at $342,000, while the call represents $30,743.30 of the total.

ARM Seasonality

March has historically been an active month for semiconductor names as investors position ahead of spring earnings cycles and updated guidance from major chip designers. With ARM's next options expiry just nine days away on March 13, 2026, short-term volatility expectations appear elevated relative to open interest norms.

ARM Relative Performance

ARM's 1.94% gain on today's session reflects a modest recovery move within a broader range. Trading at $124.08, the stock remains roughly 32% below its 52-week high of $183.16, while holding a comfortable cushion of approximately 55% above its 52-week low of $80.00. The current price places ARM in the lower half of its annual range, suggesting the stock has meaningfully retraced from peak levels even as today's session reflects positive price action.