Daily Options Outlook | Marvell up 5.8% in pre-market; storage sector rises pre-market; RGTI surges 19.87% after securing up to $100 million in U.S. government funding for quantum computing

Today's Options Market Outlook

On the individual stock level， $Marvell Technology (MRVL.US)$ Up 5.8% in pre-market. Marvell is set to release earnings after market close on May 27. Strong market expectations for AI optical interconnect development have bolstered sentiment toward the stock. Options data shows Marvell’s put/call volume ratio was 0.73 the previous day, with implied volatility (IV) at 89.81% and IV percentile at 96%, indicating expectations of significant post-earnings price swings.

The storage sector rose in pre-market trading, $Micron Technology (MU.US)$ up 5.61%, $SanDisk (SNDK.US)$ up 3.09%, $Western Digital (WDC.US)$ up 2.48%. Options market data shows SanDisk's put/call volume ratio reached 0.99, with an implied volatility (IV) of 98.29%, indicating investors are buying put options to hedge against potential downside risk in their underlying positions.

$Advanced Micro Devices (AMD.US)$ up 2.63% in pre-market trading. ComputeX 2026 is set to open soon, with Jensen Huang, Lisa Su, and Lip-Bu Tan arriving in Taiwan one after another for confidential visits to AI infrastructure supply chain partners. The options market shows AMD's put/call volume ratio at 0.52 and its open interest ratio at 1.07, with an implied volatility (IV) of 70.92% and IV percentile at 93%, reflecting market expectations of a short-term stock price rally while using puts to hedge long-term volatility risk.

Review of yesterday's options market

Index Options

On May 22 Eastern Time, U.S. equity index options trading volume declined, with a total of 5.71 million contracts traded. The put/call volume ratio rose to 1.18.

Single Stock Options

$Rigetti Computing (RGTI.US)$ closed up 19.87%, with 651,800 options contracts traded and the put/call volume ratio rising to 0.35. The U.S. government announced a $2 billion investment in nine quantum computing companies, with Rigetti Computing receiving the largest grant of up to $100 million.

$NVIDIA (NVDA.US)$ closed down 1.90%, with 4.3193 million options contracts traded and the put/call volume ratio rising to 0.47. NVIDIA reported first-quarter revenue of $81.6 billion, up 85% year-over-year, with data center revenue reaching $75.2 billion, up 92%, and provided second-quarter guidance of $91 billion.

Top list of options trading volume

Among the top 10 stocks by options trading volume,$Micron Technology (MU.US)$ had the highest put/call volume ratio, reaching 0.92. Micron Technology has started 1α DRAM production at its Virginia facility, and its CEO stated that the memory chip shortage will persist beyond 2026.

The highest put/call open interest ratio is$Micron Technology (MU.US)$, reaching 1.21.

Implied volatility rankings (underlying market cap > $10 billion and options trading volume > 100,000)

$POET Technologies (POET.US)$Implied volatility the highest, reaching 150.29%, down 0.79% from the previous trading day. POET Technologies completed a $400 million financing round and secured an initial $50 million order from Lumilens.

$Rigetti Computing (RGTI.US)$Implied volatility rose the most, reaching 121.59%, an increase of 14.26% from the previous trading day.

Risk Warning

An option is a contract that gives the holder the right, but not the obligation, to buy or sell an asset at a fixed price on a specific date or before that date. The price of an option is influenced by various factors, including the current price of the underlying asset, the strike price, time to expiration, and implied volatility.

Implied volatility reflects the market's expectation of the option's volatility over a certain period in the future. It is derived inversely from the BS pricing model of options and is generally considered an indicator of market sentiment. When investors anticipate greater volatility, they may be more willing to pay higher prices for options to hedge risks, resulting in higher implied volatility.

Traders and investors use implied volatility to assessOption priceto enhance attractiveness, identify potential mispricing, and manage risk exposure.

Disclaimer
This content does not constitute any offer, solicitation, recommendation, opinion, or guarantee of any securities, financial products, or tools. The risk of loss in trading options can be substantial. In some cases, losses may exceed the initial margin deposited. Even if you set contingent orders such as 'stop-loss' or 'limit' orders, these may not prevent losses. Market conditions may make such orders unexecutable. You may be required to deposit additional margin within a short period. If you fail to provide the required amount within the specified time, your open positions may be liquidated. However, you will still be responsible for any shortfall in your account. Therefore, before trading, you should study and understand options and carefully consider whether such trading is suitable for you based on your financial situation and investment objectives. If you trade options, you should be familiar with the procedures for exercising options and the rights and obligations upon exercise and expiration. Options trading carries extremely high risks and is not suitable for all investors. Investors should carefully readCharacteristics and Risks of Standardized Options。

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