Option Focus | Bloom Energy’s $2.24 Million Put Sale at $150 Strike Signals Strong Bullish Conviction Despite Stock’s 3.97% Pullback

Option Witch07:03

Bloom Energy Corp closed at USD 210.63, down 3.97%.

Despite the day's pullback, a massive $2.24 million put sale dominated the options tape, signaling robust institutional conviction. The block trade involving 1,500 contracts at the deep out-of-the-money $150.00 strike for a 2026 expiration suggests a strongly bullish posture, with the seller effectively betting BE will not revisit those lower levels while collecting significant premium against the current share price.

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Options Indicators

BE’s implied volatility is 105.47%, while its IV percentile stands at 24.70%, indicating that although absolute IV is very high, it sits near the lower end of its own historical range and options are therefore relatively cheaply priced. Combined with an IV/HV ratio of 0.73, the options market is implying less volatility than the stock has recently realized, which supports the view that current option premiums are on the inexpensive side rather than stretched. The Call/Put volume ratio is 0.65.

Large Trades

A PUT sale worth $2.24 million was the standout large trade, with 1,500 contracts sold at the $150.00 strike expiring on 2026-11-20. With the stock reference price at $210.63, this put was out of the money at execution, indicating the seller was positioning from a moderately bullish to neutral stance. Strategically, selling an out-of-the-money put at this lower strike typically reflects premium collection while also expressing willingness to take on downside exposure only if BE were to fall materially toward that level by expiration. Overall sentiment was clearly bullish, with total bullish large-trade flow of $2.27 million versus bearish flow of $0.00 million, leaving a net difference of $2.27 million to the bullish side. The directional takeaway is decisively positive, as the large-trade activity was entirely concentrated in put selling, a pattern that usually signals confidence that shares will stay above lower strike levels and that downside risk is viewed as manageable rather than imminent.

Strategy Reference

For traders seeking to mirror the bullish sentiment with defined risk, selling the $190.00 put with a nearer expiration could offer a higher probability of expiring out of the money; alternatively, a bull put spread using the $200.00/$190.00 strikes reduces margin requirements while still capitalizing on the elevated premium environment.

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