ARM Holdings Sees $1.1M in Bearish Put Activity as Stock Trades Near 52-Week Highs

June 3, 2026

By TrendSpider Editor

ARM Holdings Sees $1.1M in Bearish Put Activity as Stock Trades Near 52-Week Highs

Unusual options activity in Arm Holdings plc is flashing a cautionary signal, with two notable put contracts totaling $1,119,301.40 in premium hitting the tape on Wednesday as the stock trades at $411.86. Both contracts are out of the money and targeting strikes well below the current price, suggesting at least some institutional players are positioning for a potential pullback. ARM shares are sitting near the upper end of their 52-week range of $100.02 to $427.99, leaving the stock with limited room to run before testing all-time highs.

Key Drivers of the ARM Stock Move

Main Catalyst: Two put contracts with a combined premium of $1,119,301.40 were flagged as unusual activity. A $350 strike put expiring June 12, 2026 saw a size of 1,000 contracts with open interest at 260% of typical levels, generating $565,000 in premium. A second $300 strike put expiring July 17, 2026 traded 538 contracts at 75% of open interest, contributing $554,301.40 in premium.
Bull Case: ARM is up 2.27% on the session and trading at $411.86, only $16.13 below its 52-week high of $427.99. The put activity could represent hedging against existing long positions rather than outright bearish bets, meaning institutional holders may simply be protecting gains in a stock that has surged dramatically from its 52-week low of $100.02.
Bear Case: Both contracts are out of the money and strike significantly below the current price, at $350 and $300 respectively. The $350 put expires in just nine days on June 12, meaning the buyer needs a swift and sharp move lower to profit. The elevated open interest ratio of 260% on the near-term contract points to a concentrated, high-conviction position rather than routine hedging activity.

The forward setup for ARM is complicated by how far and how fast the stock has moved. Trading at $411.86 against a 52-week low of $100.02 means ARM has roughly quadrupled off its lows, a run that naturally invites both profit-taking and protective positioning. The near-term $350 put expiring June 12 is particularly aggressive given its tight timeframe, implying either a directional bet on imminent weakness or a hedge tied to a known catalyst in the coming days. The longer-dated $300 put expiring July 17 gives more runway but targets a strike nearly 27% below current levels, underscoring the scale of the downside protection being purchased. With ARM trading close to its 52-week high, any broader semiconductor sector rotation or macro-driven risk-off move could provide the catalyst these put buyers may be anticipating.

ARM Unusual Options Activity

Contract 1: Put | Strike: $350 | Expiry: June 12, 2026 | Volume: 1,000 | Open Interest: 260% | Premium: $565,000 | Status: Out of the Money
Contract 2: Put | Strike: $300 | Expiry: July 17, 2026 | Volume: 538 | Open Interest: 75% | Premium: $554,301.40 | Status: Out of the Money

Total unusual premium across both contracts reached $1,119,301.40, with zero call contracts flagged. The entirely one-sided put flow with no offsetting bullish options activity makes the bearish lean of this session's unusual activity unambiguous.

ARM Relative Performance

ARM gained 2.27% on Wednesday, closing at $411.86 and sitting just 3.8% below its 52-week high of $427.99. The stock has dramatically outperformed on a trailing 52-week basis, having climbed from a low of $100.02, a gain of more than 300% from trough to near-peak. That exceptional run is precisely the context that gives the current put activity added weight, as traders positioning for a reversion have a compelling valuation argument even as near-term price momentum remains constructive.