Broadcom ended the session at $417.82, up 0.43%, after opening at $415.81, ranging between $411.41 and $424.92, with about 13.17 million shares changing hands.

A decisively bearish stance dominated Broadcom's options market, driven by a single $1.69 million out-of-the-money call sale. The session's large trades totaled $1.90 million in bearish flow against zero bullish flow, signaling a clear institutional tilt toward capped upside or outright downside protection.

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Options Indicators

AVGO’s implied volatility is 50.74%, and with an IV percentile of 42.63%, current option volatility sits in a neutral historical range rather than at an extreme. In other words, AVGO options are not especially cheap or especially expensive versus their own recent history, although the IV/HV ratio of 1.41 shows implied volatility is still running above realized volatility, suggesting the market is pricing in a meaningful premium for expected future movement.

The Call/Put volume ratio is 1.03.

Large Trades

A CALL sale worth $1.69 million was the standout large trade, with 1,500 contracts sold on the 450.0 strike expiring September 4, 2026. With AVGO referenced at $417.82, this call was out of the money at execution, making it a bearish-to-capped-upside positioning trade. Selling an out-of-the-money call at this strike suggests the trader was likely expressing the view that AVGO will remain below 450.0 into expiration, while collecting premium and limiting participation in a stronger upside move.

Overall sentiment in AVGO large trades was clearly bearish, with total bearish flow at $1.90 million versus bullish flow at $0.00 million, for a net difference of $1.90 million to the bearish side. The directional judgment is decisively bearish, as all identified large-trade activity leaned negative, led by the sizable out-of-the-money call sale and reinforced by additional put buying in the broader large-trade tape. Together, these trades point to a market posture centered on downside protection or bearish positioning rather than upside speculation.

Strategy Reference

For traders seeking to express a similar capped-upside view with a shorter commitment, selling the September 2025 $450 call offers a lower assignment probability while still capitalizing on elevated IV relative to realized volatility.