Reddit Options Traders Make a Big Bullish Bet With a $2.93M Call Position Targeting $280

By TrendSpider Editor

Reddit, Inc. (RDDT) is drawing attention in the options market Thursday after two unusual call contracts surfaced, combining for a total premium of $2,977,590. The dominant trade is a large $2.93 million call position targeting a strike of $280 by June 2028, a level that would represent a significan

Reddit Options Traders Make a Big Bullish Bet With a $2.93M Call Position Targeting $280

Reddit, Inc. (RDDT) is drawing attention in the options market Thursday after two unusual call contracts surfaced, combining for a total premium of $2,977,590. The dominant trade is a large $2.93 million call position targeting a strike of $280 by June 2028, a level that would represent a significant rally from RDDT's current price of $150.33. With the stock sitting closer to the bottom half of its 52-week range of $119.27 to $263.50, that bet implies traders see a potential run back toward the stock's prior highs and well beyond.

Key Drivers of the RDDT Stock Move

• Main Catalyst: Two unusual call contracts were flagged today totaling $2,977,590 in combined premium. The headline trade is a 1,250-contract call at the $280 strike expiring June 16, 2028, carrying $2,931,250 in premium with open interest utilization at just 17%, suggesting this is a fresh, directional bet. A smaller in-the-money call at the $147 strike expiring November 20, 2026 added $46,340 in premium with an open interest spike of 1,000%.
• Bull Case: The $280 strike call represents a long-duration conviction trade with nearly two years of runway. The 1,250-contract size and $2.93 million in premium signal institutional-scale positioning. Meanwhile, the $147 strike ITM call with a 1,000% OI surge hints at near-term bullish activity as well, suggesting layered optimism across multiple timeframes.
• Bear Case: RDDT is currently trading at $150.33, down 1.95% on the session, and has already shed significant ground from its 52-week high of $263.50. The $280 call is deeply out of the money relative to today's price, meaning it requires a near-doubling of the current share price to land in-the-money at expiration. With zero put contracts flagged today, this flow could also reflect hedging activity tied to a short position rather than pure directional optimism.

Thursday's options activity arrives as RDDT trades in the lower half of its annual range, roughly 43% off the 52-week high of $263.50 and only about 26% above the 52-week low of $119.27. The stock's current positioning creates an asymmetric setup for options traders with longer time horizons. The June 2028 expiration gives the $280 call more than 19 months of time value, offering room for the thesis to develop through multiple earnings cycles and potential product or monetization milestones. Investors will be watching for any upcoming earnings reports or announcements around advertising revenue and AI data licensing, areas that have been central to Reddit's growth narrative since its IPO. The combination of a near-term ITM call and a long-dated OTM call in the same session may suggest that multiple traders or a single sophisticated player is building a tiered bullish position at current price levels.

RDDT Unusual Options Activity

• Contract 1: Call | Strike: $147 | Expiry: November 20, 2026 | Volume: 28 | Open Interest Change: 1,000% | Status: In the Money | Premium: $46,340
• Contract 2: Call | Strike: $280 | Expiry: June 16, 2028 | Volume: 1,250 | Open Interest Change: 17% | Status: Out of the Money | Premium: $2,931,250

Both contracts flagged today are calls, with zero puts reported, giving today's unusual flow a purely bullish directional lean. The total unusual premium across both contracts is $2,977,590.

RDDT Seasonality

Late October has historically been a transitional period for growth and technology names as third-quarter earnings results flow in and investors reposition into year-end. For a stock like RDDT that remains sensitive to user growth and advertising demand cycles, Q4 seasonal tailwinds in digital advertising could be a factor supporting the bullish framing of today's options flow.

RDDT Relative Performance

RDDT is down 1.95% on the session as of Thursday, October 22, 2026, underperforming on the day against the broader market. The stock's current price of $150.33 places it roughly 43% below its 52-week high of $263.50, reflecting a significant drawdown from peak levels. Relative to its 52-week low of $119.27, the stock retains approximately 26% of recovery buffer, meaning it has held above cycle lows but has substantial ground to reclaim before returning to prior highs.