Credo Technology Group Holding Ltd finished the latest session at 164.17 USD, a 0.64% decline.
A single $1.35 million out-of-the-money call purchase dominated CRDO’s large options flow, signaling strong bullish conviction despite the modest pullback in shares. The trade centered on 3,000 contracts at the 185.0 strike for a September 2026 expiration, with near-record-low implied volatility percentile making the upside bet unusually cheap to finance relative to the stock’s own recent pricing history.
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Options Indicators
CRDO’s implied volatility stands at 74.03%, but its IV percentile is just 3.97%, which indicates that relative to its own recent history, volatility is actually on the low side and options are cheaply priced rather than expensive. This is reinforced by the IV/HV ratio of 0.63, suggesting implied volatility is running below realized volatility, so current option premiums appear relatively inexpensive from a historical pricing perspective.
The Call/Put volume ratio is 1.70, confirming that options traders are leaning clearly toward bullish positioning over bearish protection in the current tape.
Large Trades
A call buy worth $1.35 million dominated the large-trade flow in CRDO, with 3,000 contracts purchased at the 185.0 strike for expiration on 2026-09-18. With the stock reference price at $164.17, this call was out of the money, making it a clear bullish directional position that targets upside over a longer-dated horizon. The willingness to pay premium for an OTM call at this tenor suggests the buyer is looking for meaningful appreciation rather than near-term income, and it reflects confidence that CRDO can rally above the strike over time.
Overall, the large-trade activity points to a clearly bullish tone in CRDO. The flow was entirely one-sided, led by aggressive premium buying in an out-of-the-money long-dated call, which typically signals expectation of higher prices and a willingness to position for upside convexity. With no meaningful bearish large-trade activity offsetting that order, the options block flow suggests constructive sentiment and a positive directional outlook for the stock.
Strategy Reference
For traders seeking to collect premium with a low assignment probability, selling the 120.0 strike put for the same September 2026 expiry offers a wide cushion roughly 26.90% below spot, while those who prefer defined risk to avoid heavy margin could structure a bullish call spread such as buying the 170.0 call and selling the 195.0 call.