Broadcom Sees $4.6 Million in Bullish Call Activity as Traders Target $450 Strike

By TrendSpider Editor

Broadcom Inc. (AVGO) is drawing attention in the options market Thursday after two unusually large call contracts totaling $4,629,000 in premium hit the tape, both targeting the $450 strike ahead of the September 18, 2026 expiration. The stock is trading at $421.51, up 0.77% on the session, and sits

Broadcom Sees $4.6 Million in Bullish Call Activity as Traders Target $450 Strike

Broadcom Inc. (AVGO) is drawing attention in the options market Thursday after two unusually large call contracts totaling $4,629,000 in premium hit the tape, both targeting the $450 strike ahead of the September 18, 2026 expiration. The stock is trading at $421.51, up 0.77% on the session, and sits comfortably within its 52-week range of $281.87 to $495.00. The concentrated positioning in out-of-the-money calls suggests some traders are positioning for a meaningful move higher before the contracts expire roughly six weeks from now.

Key Drivers of the AVGO Stock Move

• Main Catalyst: Two call contracts at the $450 strike expiring September 18, 2026 generated a combined $4,629,000 in premium. The first printed with a size of 1,000 contracts and the second with 1,250 contracts, both sitting out of the money relative to the current price of $421.51.
• Bull Case: The $450 strike represents roughly 6.7% upside from current levels, and the all-in premium commitment of $4,629,000 across just two contracts signals high-conviction directional bets. At $421.51, AVGO is trading well off its 52-week high of $495.00, leaving room for a recovery that would push the stock through the strike and into profitability for these contracts.
• Bear Case: Both contracts are out of the money, meaning the full $4,629,000 in premium is at risk if AVGO fails to clear $450 before expiration. The stock would need to climb more than $28 from current levels for these trades to finish in the money, and with the 52-week low sitting at $281.87, the broader range shows the stock is capable of significant downside as well.

The forward setup for AVGO is worth watching closely heading into mid-September. The two call sweeps arriving on the same day, targeting the same strike and expiration, point to coordinated or at minimum parallel conviction around a near-term catalyst. With six weeks until expiration on September 18, 2026, traders appear to be anticipating either a macro tailwind for semiconductors or a company-specific development that could act as a near-term price driver. Broadcom has been one of the more closely watched names in the AI infrastructure buildout narrative, and any renewed momentum in hyperscaler capital expenditure commentary or product cycle news could quickly close the gap between the current price and the $450 strike.

AVGO Unusual Options Activity

• Contract 1: Call, $450 strike, expiring September 18, 2026 | Volume: 1,000 | Open Interest: 6% | Status: OTM | Premium: $2,054,000
• Contract 2: Call, $450 strike, expiring September 18, 2026 | Volume: 1,250 | Open Interest: 7% | Status: OTM | Premium: $2,575,000

Both contracts are calls at the same strike and expiration, with zero put activity reported alongside them. The total unusual contract count stands at 2, with combined premium of $4,629,000 flowing entirely to the call side. The absence of any put contracts in today's unusual activity reinforces the one-sided bullish lean of this options flow.

AVGO Seasonality

Historically, the semiconductor sector tends to see increased institutional positioning in late summer as traders prepare for fall product cycle announcements and fiscal year-end portfolio adjustments. A September 18, 2026 expiration places these contracts squarely in that window, which may be a contributing factor in the timing of this activity.

AVGO Relative Performance

AVGO is up 0.77% on Thursday, trading at $421.51. The stock remains well above its 52-week low of $281.87, though it has not reclaimed the $495.00 52-week high reached earlier in the period, leaving approximately 17.4% of ground between the current price and that prior peak. The options flow today suggests at least some market participants believe a move back toward the upper end of that range is plausible within the next six weeks.