PEP Stock: Unusual Options Activity Flags Bullish Positioning as PepsiCo Trades Near 52-Week Highs
By TrendSpider Editor
Two unusual options contracts totaling $5,236,600 in combined premium have surfaced in PepsiCo, Inc. (PEP), drawing attention to potential directional bets on the consumer staples giant. PEP is currently trading at $160.74, up 0.82% on the session, and sits in the upper half of its 52-week range of
PEP Stock: Unusual Options Activity Flags Bullish Positioning as PepsiCo Trades Near 52-Week Highs
Two unusual options contracts totaling $5,236,600 in combined premium have surfaced in PepsiCo, Inc. (PEP), drawing attention to potential directional bets on the consumer staples giant. PEP is currently trading at $160.74, up 0.82% on the session, and sits in the upper half of its 52-week range of $127.60 to $171.48. Both contracts are calls, suggesting options traders are positioning for continued upside in the months and years ahead.
Key Drivers of the PEP Stock Move
- Main Catalyst: Two unusual call contracts have been flagged on PEP, carrying a combined total premium of $5,236,600. The larger of the two is a $170 strike call expiring June 18, 2026, with a size of 10,000 contracts and a premium of $5,200,000. The second is a deep out-of-the-money $250 strike call expiring January 21, 2028, with a size of 200 contracts and a premium of $36,600.
- Bull Case: The June 2026 $170 call represents a massive $5,200,000 premium commitment, with volume running at 50% of open interest, indicating a significant fresh position. With PEP currently at $160.74, the $170 strike is only modestly out of the money, suggesting traders see a realistic path to that level within the next three and a half months.
- Bear Case: Both contracts are currently out of the money, meaning they expire worthless if PEP fails to rally past their respective strike prices. The $250 strike on the 2028 contract implies a move of more than 55% above current levels, a target that would require a dramatic repricing of the stock. Additionally, PEP still has room to recover before testing its 52-week high of $171.48, and any macro or earnings headwinds could weigh on the near-term setup.
The forward setup for PEP remains constructive on a technical basis, with the stock holding well above its 52-week low of $127.60 and approaching the upper boundary of its annual range near $171.48. The unusually large June 2026 call position, in particular, may reflect institutional conviction ahead of upcoming catalysts, whether tied to earnings, product cycle momentum, or broader consumer spending trends. If PEP can clear and sustain a move above $170, it would represent a new 52-week high breakout, which could attract additional momentum-driven buying. Traders will want to watch how price behaves as it approaches that key level over the coming weeks.
PEP Unusual Options Activity
Two unusual call contracts were flagged on PEP today, with no put activity reported. Details for each contract are as follows:
- Contract 1: Call | Strike: $170 | Expiry: June 18, 2026 | Volume: 10,000 | Open Interest: 50% OI ratio | Premium: $5,200,000 | Status: Out of the money
- Contract 2: Call | Strike: $250 | Expiry: January 21, 2028 | Volume: 200 | Open Interest: 20,000% OI ratio | Premium: $36,600 | Status: Out of the money
The June 2026 contract dominates the activity by premium size, accounting for the vast majority of the $5,236,600 total. The January 2028 contract stands out for its extraordinary open interest percentage of 20,000%, suggesting that today's volume is dramatically larger than the existing open interest in that specific contract, which points to a brand-new position being established at a very aggressive upside target.
PEP Seasonality
March has historically been a transitional period for consumer staples stocks, as investors begin rotating portfolios ahead of second-quarter positioning. PEP's proximity to its 52-week high heading into spring could be consistent with seasonal patterns that favor defensive consumer names during periods of broader market uncertainty.
PEP Relative Performance
PEP gained 0.82% on the session, placing it at $160.74 and well above its 52-week low of $127.60, representing a recovery of roughly 26% from that trough. The stock remains approximately 6.3% below its 52-week high of $171.48, indicating there is still meaningful headroom before PEP challenges its recent peak. No peer or index comparison data was provided for this session.