Huge trade hits surging Snap shares

• Of the $5.5 million in premium traded, $5 million was tied to call options, with 9 of the top 10 trades by volume being calls
• The most popular trade was the December 18 call at an 8-strike price, which traded 26,000 times and requires a 30% rally to be profitable
• Net trade sentiment and directional bias were positive, with approximately 64,000 call contracts initiated by buyers compared to under 7,000 puts

Summary: Huge Trade Hits Surging Snap Shares

Key Performance Metrics:

Snap Inc. (SNAP) shares have surged nearly 20% in the current month, attracting significant options trading activity that suggests continued bullish sentiment into year-end.

Trading Activity:

On Monday, almost 140,000 options contracts traded on Snap, with heavily skewed bullish positioning:

• Approximately 64,000 call options purchased by buyers
• Under 7,000 put options bought
• Over 34,000 calls sold and 12,000 puts sold
• Net trading sentiment and directional bias were positive

Major Trade Details:

The most popular contract was the December 18 expiry, $8-strike call option, which traded 26,000 times at approximately $0.37 per contract. This position requires Snap to rally 30% before expiration to become profitable, which would push the stock to its highest level since February 2026.

Premium Flow:

Of the $5.5 million in total premium exchanged, $5 million was allocated to call options. Nine of the top 10 trades by volume were calls, according to SpotGamma data.

Company Background:

Snap owns the photo-sharing and messaging application Snapchat and also produces augmented-reality "Specs" glasses.

Market Implications:

The heavy options activity and bullish positioning suggest institutional and retail traders are anticipating a significant upward move in Snap shares through year-end. The concentration of call buying indicates strong conviction that the stock's recent momentum will continue, potentially driven by improved business fundamentals or market conditions favoring growth technology stocks.