Amazon.com closed at USD 246.67, up 0.21%.
Large options trades are flashing bearish conviction, led by a $37.72 million buy of deep in-the-money puts expiring in 2028. A separate $2.02 million call sale on the December 2026 $285.00 strike reinforces a capped-upside view. Combined, the bulk order flow shows institutional players leaning heavily toward downside protection and skepticism about Amazon.com’s medium- to long-term upside path.
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Options Indicators
Amazon.com currently has an implied volatility (IV) of 37.17%, with an IV percentile of 57.37%, which places current volatility in a neutral range rather than at an extreme. Options are therefore not especially cheap or especially expensive on a historical basis, though the IV/HV ratio of 1.69 indicates implied volatility is running meaningfully above realized volatility, suggesting the options market is pricing in a fuller premium relative to recent actual movement. The Call/Put volume ratio is 2.21.
Large Trades
A put buy worth $37.72 million was the standout large trade, with 3,542 contracts bought on the January 21, 2028 $350.00 put. With AMZN referenced at $246.67, this strike is in the money, which makes the position a high-conviction bearish trade with substantial intrinsic value already embedded. The buyer is paying significant premium for downside exposure extending well into 2028, signaling either a strong directional view that AMZN could weaken further over time or a sizable portfolio hedge against a meaningful drawdown.
A call sale worth $2.02 million was the other major trade, consisting of 4,000 contracts sold on the December 18, 2026 $285.00 call. With the stock still below that strike, the option is out of the money, so this looks like a moderately bearish to capped-upside stance. Strategically, the seller appears to be collecting premium while expressing the view that AMZN is unlikely to rise above $285.00 by expiration, or at least that upside through that level is limited enough to justify overwriting it.
Overall, the large-trade flow is clearly bearish. The dominant activity was concentrated in put buying, led by a very large in-the-money long-dated protective or speculative downside position, while the next-largest trade was an out-of-the-money call sale that also leans negative by monetizing and limiting upside. Taken together, the bulk-order positioning suggests institutional participants are prioritizing downside protection and expressing skepticism about AMZN’s medium- to long-term upside path.
Strategy Reference
For a seller seeking low assignment probability, the out-of-the-money $310.00 call in a nearer-dated monthly expiration offers premium collection without directly challenging the $285.00 overhead cap, while a bear put spread using the $350.00 and $300.00 strikes in the same January 2028 expiry can define risk if the full put buy requires too much margin.
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