Three key AI stocks to watch this week with traders expecting giant moves

• Micron's implied volatility sits at 116, highest in the S&P 500, with options traders pricing in a 10% post-earnings move and $3.3 billion in options traded Monday including a $61 million deep in-the-money call purchase
• Super Micro Computer stock jumped 16% on new data center blueprint announcement using unspecified architecture, with heavily bullish options flow showing 320,000 calls traded versus only 64,000 puts
• The AI chipmaker reporting Tuesday is down nearly 30% from its first-day trading price following last month's IPO, with options implying an 11.5% post-earnings move

Summary: Three Key AI Stocks to Watch This Week

Key Companies and Earnings Events

Micron Technology (MU) reports Wednesday and is generating the most significant trading activity. The stock trades at $1,199.17, up 5.75% Monday, with options traders expecting a 10% swing—the largest implied earnings move since December 2024. Micron's implied volatility stands at 116, the highest in the S&P 500 alongside other major tech names.

An unnamed AI chipmaker reports Tuesday after the bell in its first earnings since going public last month. The stock has declined nearly 30% from its IPO debut, with options pricing an 11.5% post-earnings move.

Super Micro Computer (SMCI) has surged 16% following announcement of a new data center blueprint using specific architecture, displaying the most bullish options positioning among AI stocks.

Trading Activity and Market Implications

Micron options volumes totaled $3.3 billion Monday, with call premiums accounting for $2.6 billion. The largest single trade was a $61 million purchase of 800 deep-in-the-money call contracts ($430 strike, July 17 expiry). However, significant call selling also occurred, with 34,000 calls sold versus under 20,000 bought.

SMCI saw overwhelmingly bullish positioning with 320,000 calls traded versus 64,000 puts, and traders bought nearly 10 times more calls than puts. The popular 40-strike call expiring Friday saw over 24,000 contracts traded.

Sector Context

These earnings arrive during a critical period for the semiconductor sector, which remains central to the ongoing bull market, as investors assess the strength of AI-driven demand amid recent market volatility.