Costco Options Traders Split Bullish and Bearish as COST Drifts Near 52-Week Lows

By TrendSpider Editor

Costco Wholesale Corporation is drawing unusual options attention on Thursday, with two notable contracts flagging across call and put activity totaling $1,062,569 in combined premium. COST shares are trading at $918.25, down 0.98% on the session, and sitting closer to the 52-week low of $844.06 tha

Costco Options Traders Split Bullish and Bearish as COST Drifts Near 52-Week Lows

Costco Wholesale Corporation is drawing unusual options attention on Thursday, with two notable contracts flagging across call and put activity totaling $1,062,569 in combined premium. COST shares are trading at $918.25, down 0.98% on the session, and sitting closer to the 52-week low of $844.06 than the 52-week high of $1,096.50. The mixed directional signal from the options flow adds an extra layer of intrigue as traders position ahead of what could be a pivotal few months for the warehouse retailer.

Key Drivers of the COST Stock Move

• Main Catalyst: Two unusual options contracts were flagged today, one a call at the $935 strike expiring October 16, 2026, and one a put at the $890 strike expiring August 7, 2026. Combined, they represent $1,062,569 in total premium, suggesting meaningful conviction behind both sides of the trade.
• Bull Case: The call contract at the $935 strike carries the heavier premium at $796,934, and its open interest was exceeded by 468%, meaning volume today dwarfed existing positioning. A move back toward the $935 level would represent roughly a 1.8% gain from the current price of $918.25, and if momentum builds, the path back toward the 52-week high of $1,096.50 remains technically open.
• Bear Case: The put at the $890 strike, expiring August 7, 2026, is the more urgent contract given its near-term expiry of just 15 days out. At 446% of open interest and $265,635 in premium, this trade reflects a targeted bet that COST could slide toward levels not seen since February 2026. A drop to $890 from current prices would represent a decline of roughly 3% and would bring the stock uncomfortably close to its 52-week floor at $844.06.

The forward setup for COST is one where the options market appears genuinely divided. The longer-dated October call suggests some traders are willing to be patient and bet on a recovery into the fall, possibly around Costco's next earnings cycle. The short-dated August put, however, implies at least one camp sees near-term pressure ahead, potentially tied to broader consumer spending concerns, macro headwinds, or a technical breakdown. With COST already down nearly 16% from its 52-week high, any additional weakness would sharpen questions about the stock's support structure heading into the back half of 2026.

COST Unusual Options Activity

• Contract 1: Call, $935 strike, expiring October 16, 2026 | Volume: 192 | Open Interest: 468% exceeded | Out of the money | Premium: $796,934
• Contract 2: Put, $890 strike, expiring August 7, 2026 | Volume: 450 | Open Interest: 446% exceeded | Out of the money | Premium: $265,635

Both contracts are out of the money relative to the current price of $918.25. The call requires a move above $935 to reach profitability at expiration, while the put requires a drop below $890. The volume-to-open-interest ratios on both, each exceeding 440%, are a strong signal that these are fresh, aggressive positions rather than extensions of existing trades.

COST Seasonality

Historically, Costco tends to see increased investor focus in late summer and early fall as back-to-school and holiday inventory cycles draw attention to warehouse retail trends. The October 16, 2026 call expiry aligns well with this seasonal window, a period that has often coincided with positive sentiment around Costco's membership renewal data and same-store sales disclosures.

COST Relative Performance

COST is down 0.98% today, underperforming on a session where broader consumer staples names are under similar pressure. With shares at $918.25, Costco is trading roughly 16.3% below its 52-week high of $1,096.50 and approximately 8.8% above its 52-week low of $844.06, placing it in the lower half of its annual range. The proximity to the lower end of that range makes the near-term August put particularly notable, as a breakdown from current levels would represent a significant technical deterioration.