Texas Instruments Sees Bullish Options Surge as $350 Call Contracts Draw Heavy Volume

By TrendSpider Editor

Texas Instruments (TXN) is drawing attention in the options market today, with two notable call contracts at the $350 strike targeting a March 2027 expiration generating a combined premium of $1,494,332.90. The stock is trading at $276.62, up 2.82% on the session, and the $350 strike sits well out o

Texas Instruments Sees Bullish Options Surge as $350 Call Contracts Draw Heavy Volume

Texas Instruments (TXN) is drawing attention in the options market today, with two notable call contracts at the $350 strike targeting a March 2027 expiration generating a combined premium of $1,494,332.90. The stock is trading at $276.62, up 2.82% on the session, and the $350 strike sits well out of the money relative to the current price. TXN has traded between $152.76 and $334.03 over the past 52 weeks, placing today's price in the upper half of that range and suggesting the options flow is betting on a meaningful continuation of the longer-term uptrend.

Key Drivers of the TXN Stock Move

• Main Catalyst: Two out-of-the-money call contracts at the $350 strike expiring March 19, 2027 printed with unusually elevated open interest percentages of 203% and 358%, with individual sizes of 241 and 426 contracts respectively, totaling over $1.49 million in combined premium. OI% readings above 100% indicate volume that exceeds existing open interest, a classic signature of fresh, directional positioning.
• Bull Case: The $350 strike represents a significant move above the current price of $276.62, and traders are paying meaningful premium to position for that outcome by March 2027. With TXN's 52-week high at $334.03, a move to $350 would represent new multi-year highs, and the volume-to-open-interest ratios of 203% and 358% signal this is not routine hedging activity.
• Bear Case: Both contracts are deeply out of the money at the $350 strike against a current price of $276.62, meaning TXN would need to rally substantially before expiration for these positions to profit. The stock is already more than $57 below that target, and while the 52-week range shows TXN has traded as high as $334.03, a breakout to $350 would require clearing that prior high by a wide margin.

The forward setup for TXN is constructive given today's price strength and the bullish options activity, but the $350 target is ambitious. The March 2027 expiration gives traders roughly seven and a half months for the thesis to play out, which suggests the positioning is less about near-term catalysts and more about confidence in a sustained recovery cycle for the semiconductor sector. Texas Instruments is a bellwether for the analog and embedded processing markets, and large directional bets like these often reflect institutional views on the broader chip demand cycle heading into 2027.

TXN Unusual Options Activity

Two unusual call contracts were flagged today, both targeting the same $350 strike with a March 19, 2027 expiration:

• Contract 1: Call, $350 strike, expiring March 19, 2027 | Volume: 241 | Open Interest: 203% | Premium: $538,900.10
• Contract 2: Call, $350 strike, expiring March 19, 2027 | Volume: 426 | Open Interest: 358% | Premium: $955,432.80

The combined total premium across both contracts is $1,494,332.90. The staggered sizing and back-to-back prints at the same strike and expiration could indicate a single institution building a position in tranches, a common tactic used to minimize market impact. Both contracts carry OI% readings well above 100%, confirming this volume represents new, aggressive positioning rather than existing open interest rolling or closing.

TXN Seasonality

August has historically been a mixed month for semiconductor stocks as the market digests mid-year earnings and looks ahead to fall demand signals. The March 2027 expiration aligns with a period when analysts typically have clearer visibility into the following year's capital spending and inventory cycle, which may explain why options traders are extending their time horizon beyond the immediate near-term.

TXN Relative Performance

TXN is up 2.82% today to $276.62, a solid single-session gain that places it well above its 52-week low of $152.76 and within striking distance of closing the gap to its 52-week high of $334.03. The stock's current price represents a recovery of more than $123 from its 52-week trough, underscoring the recovery in sentiment around Texas Instruments heading into the second half of 2026.