RDDT Stock: Unusual Call Activity Signals Bullish Bets as Reddit Shares Rise 2.85%

By TrendSpider Editor

Reddit, Inc. is drawing attention from options traders Wednesday, with two unusual call contracts totaling $1,203,900 in premium hitting the tape as shares climb 2.85% to $159.08. The activity skews decisively bullish, with buyers positioning for upside at both near-term and longer-dated strikes. Wi

RDDT Stock: Unusual Call Activity Signals Bullish Bets as Reddit Shares Rise 2.85%

Reddit, Inc. is drawing attention from options traders Wednesday, with two unusual call contracts totaling $1,203,900 in premium hitting the tape as shares climb 2.85% to $159.08. The activity skews decisively bullish, with buyers positioning for upside at both near-term and longer-dated strikes. With RDDT currently trading well off its 52-week high of $282.95 but comfortably above its 52-week low of $90.79, the stock sits at a critical mid-range level where options conviction could carry outsized significance.

Key Drivers of the RDDT Stock Move

• Main Catalyst: Two unusual call contracts flagged today carry a combined premium of $1,203,900. The larger of the two is a $200 strike call expiring October 16, 2026, with a size of 600 contracts and open interest running at 405% of normal. A smaller $160 strike call expiring May 29, 2026, also showed elevated activity at 400% of open interest with 20 contracts.
• Bull Case: The sheer premium concentration in the October $200 call, at $1,170,000, suggests institutional or sophisticated players are making a high-conviction wager on a meaningful recovery toward and beyond the $200 level over the next six months. At 405% of open interest, this is not background noise.
• Bear Case: Both contracts are out of the money. The $160 strike is only modestly above the current price of $159.08, but the $200 target requires a move of roughly 25% from current levels. RDDT remains more than 43% below its 52-week high of $282.95, meaning the stock has significant overhead resistance to work through before either trade becomes deeply profitable.

The forward setup for RDDT hinges on whether the stock can rebuild momentum after a prolonged pullback from its highs. The unusual options flow today, with zero puts and two aggressive calls, reflects an asymmetric bet that the selling pressure of recent months may be exhausted. The May expiry call near the current price level adds a short-term dimension to the thesis, suggesting some traders anticipate a near-term catalyst, potentially an earnings report or macro shift, that could push shares through the $160 mark before the end of May. The October call gives longer-dated traders runway for a broader recovery narrative to play out through the summer and into fall 2026.

RDDT Unusual Options Activity

• Contract 1: Call | Strike: $160 | Expiry: May 29, 2026 | Volume: 20 | Open Interest: 400% of normal | OTM | Premium: $33,900
• Contract 2: Call | Strike: $200 | Expiry: October 16, 2026 | Volume: 600 | Open Interest: 405% of normal | OTM | Premium: $1,170,000

Both flagged contracts are calls, and no put activity was recorded today, giving the unusual options flow a clean directional tilt to the upside. The October contract dominates the premium story, accounting for approximately 97% of the $1,203,900 total.

RDDT Seasonality

Mid-April historically marks the tail end of first-quarter earnings season, a window that has often brought elevated volatility to high-growth internet and social media names as investors reassess forward guidance. Options positioning ahead of a potential earnings event in the coming weeks is consistent with the contract structures observed today.

RDDT Relative Performance

RDDT is outperforming on the session with a gain of 2.85% to $159.08, a stronger single-day move than what broad market averages are posting on a typical mid-April Wednesday. However, the stock's position relative to its 52-week range tells a longer story: at $159.08, RDDT is only 75% off its 52-week low of $90.79 but remains significantly below the $282.95 high reached over the past year, underscoring that despite today's strength, the stock has considerable ground to reclaim against its own recent performance ceiling.