Notable Thursday Option Activity: ABBV, LRCX, UAL

Lam Research (LRCX) and United Airlines (UAL) experienced significant options trading volumes, representing 59.8% and 55.7% of their respective average daily stock trading volumes. Notably, both companies saw elevated activity in specific long-dated call options expiring September 2025—the $114 strike for LRCX and the $110 strike for UAL—indicating potential institutional positioning or directional bets anticipating future price appreciation towards these levels.

Analysis

Significant options market activity was observed in Lam Research (LRCX) and United Airlines (UAL), indicating heightened investor focus channeled through derivatives. For Lam Research, options volume reached 66,349 contracts, representing 59.8% of its recent average daily share volume of 11.1 million. Similarly, United Airlines saw options volume of 25,628 contracts, equivalent to 55.7% of its 4.6 million share average daily volume. The core insight lies in the concentration of this activity in specific long-dated contracts; namely, the September 12, 2025 expiration. LRCX saw notable volume of 4,907 contracts in the $114 strike call, while UAL experienced high volume of 1,612 contracts in the $110 strike call. This targeted buying in long-dated call options suggests potential institutional positioning or speculative bets on substantial price appreciation for both companies over the next year, with the strike prices acting as notable long-term price targets for these market participants.

Key Decisions for Investors

• Investors should monitor the open interest and trading volume in the LRCX September 2025 $114 calls and the UAL September 2025 $110 calls as a key indicator of sustained bullish conviction from market participants.
• This options flow data should be treated as a signal of sentiment rather than a standalone investment thesis; it is crucial to conduct fundamental analysis to identify potential catalysts that could justify these long-term price targets.
• For traders looking to express a long-term view, these specific options contracts represent a clear focal point of recent market activity, but they should also consider the potential for increased implied volatility in these names.