Notable Monday Option Activity: OKLO, D, RGTI

Dominion Energy (D) options traded 28,386 contracts today (~2.8M underlying shares), equal to roughly 41.3% of D's one‑month average daily volume (6.9M shares); the most active series was the $60 call expiring March 20, 2026 with 3,833 contracts (~383,300 shares). Rigetti Computing (RGTI) saw 151,787 option contracts (~15.2M underlying shares), about 41% of its one‑month average daily volume (37.0M shares), led by the $27 call expiring December 26, 2025 with 9,405 contracts (~940,500 shares). These flows highlight concentrated call activity and elevated options interest in both names but do not report corporate events or fundamentals that would directly explain the trades.

Analysis

Market structure: Concentrated call buying in D (3,833 contracts at $60 Mar‑2026 ≈383k shares) and RGTI (9,405 contracts at $27 Dec‑2025 ≈940k shares) creates nontrivial delta‑hedging flows (5–6% of D's ADTV intraday, ~2.5% for RGTI) that can prop underlying prices near term and steepen implied‑vol term structure. Market makers forced to buy stock into rises amplify short squeezes; institutional directional bets or structured overlays (buy‑write or callable notes) are equally plausible, implying asymmetry between realized moves and fundamentals.

Risk assessment: Tail risks include regulatory rate decisions for Dominion (utility rate cases can move equity and credit spreads) and funding/partnership announcements or failed tech milestones for Rigetti; either could wipe out option premia. Immediate (days) risk is gamma‑driven volatility; short term (weeks–months) is earnings/rate‑case/funding catalysts; long term (quarters–years) reverts to fundamentals (earnings, capex, balance sheet). Hidden dependencies include concentrated block trades being client facilitation of structured product issuance or hedges in other assets (ETFs, credit), which can reverse violently when positions roll.

Trade implications: For D, the flow favors taking small, defined‑risk bullish exposure (long call spreads or equity) to capture potential delta‑squeeze while capping downside; implied vols for Mar‑2026 will likely rise, making spreads cheaper than outright calls. For RGTI, treat as a binary, volatility‑sensitive speculative play — prefer long call spreads to naked longs, or sell short‑dated premium if IV spikes and no fundamental shift appears. Cross‑asset: expect fleeting tightening in utility credit spreads if D rallies and short‑term risk‑off recedes; little FX/commodity impact.

Contrarian angles: The obvious read is bullish, but concentrated single‑strike flow often reflects structured trades (bullish call legs financed by short puts or call sells) so net directional exposure may be limited. Don’t chase size; require confirmation (sustained >3% spot move with open‑interest increase >30% over 2 sessions) before adding large positions. Historical parallels: single‑strike option storms (small‑cap surges) often produce a sharp pop then mean‑reversion as market‑makers unwind hedges — plan exits accordingly.

Key Decisions for Investors

• Establish a defined‑risk bullish position in D: buy Mar‑20‑2026 60/65 call spread (or equivalent LEAP structure) sized to 1–2% of portfolio notional, target 25–40% absolute upside in spread value, stop‑loss if spread premium falls 60% or D price drops >8% from entry; rationale: capture delta‑hedge driven pop while limiting tail loss.
• Speculative directional for RGTI: buy Dec‑26‑2025 27/35 call spread limited to 0.5% portfolio; set exit if premium declines 50% or if RGTI falls >30% in 30 days; target 3x return on success given binary tech catalyst risk.