Noteworthy Wednesday Option Activity: HUM, CVX, DASH

Chevron (CVX) and DoorDash (DASH) are experiencing notable options activity today; CVX options volume reached 45.1% of its average daily trading volume, with significant interest in the $160 strike put option expiring June 20, 2025, while DASH options volume hit 43.4% of its average, driven by activity in the $220 strike call option expiring the same date. The heightened options trading suggests increased hedging or speculative positioning in both stocks.

Analysis

Chevron Corporation (CVX) is experiencing a notable surge in options trading, with 38,521 contracts traded, representing approximately 3.9 million underlying shares, or a significant 45.1% of its average daily trading volume of 8.5 million shares over the past month. A substantial concentration of this activity is observed in the $160 strike put option expiring June 20, 2025, which has recorded 4,854 contracts traded, equivalent to 485,400 underlying shares; this activity potentially indicates hedging strategies or bearish sentiment targeting a price below $160 by mid-2025. Concurrently, DoorDash Inc (DASH) options trading volume has reached 19,281 contracts, equating to approximately 1.9 million underlying shares, which is 43.4% of its average daily volume of 4.4 million shares. For DASH, the $220 strike call option, also expiring June 20, 2025, shows particularly high volume with 3,287 contracts traded (representing 328,700 underlying shares), suggesting speculative bullish interest or anticipation of considerable price appreciation towards this strike by the same mid-2025 expiry. The common long-dated June 20, 2025, expiration for these high-volume options in both distinct companies highlights strategic positioning by market participants over an extended timeframe.

Key Decisions for Investors

• For Chevron, the substantial put option interest at the $160 strike expiring June 20, 2025, suggests investors should monitor this level closely as it may signal expectations of downside pressure or reflect significant hedging activity.
• Regarding DoorDash, the notable call option volume at the distant $220 strike for the June 20, 2025, expiry warrants attention, potentially indicating strong speculative bullish sentiment or expectations of substantial long-term price appreciation.
• Investors should acknowledge that the elevated options activity relative to daily share volume in both CVX and DASH, particularly concentrated in these long-dated contracts, signals increased strategic positioning and could foreshadow heightened stock price volatility or define key technical levels to watch.