Quantchabot has detected a new Bull Call Spread trade opportunity for APPLIED OPTOELECTRONICS INC. (AAOI) for the 31-Jul-2026 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
AAOI was recently trading at $96.74 and has an implied volatility of 59.52% for this period. Based on an analysis of the options available for AAOI expiring on 31-Jul-2026, there is a 38.18% likelihood that the underlying will close within the analyzed range of $96.75-$99.08 at expiration. In this scenario, the average linear return for the trade would be 15.08%.
Big 7.36% Change: After closing the last trading session at $90.11, APPLIED OPTOELECTRONICS INC. opened today at $100.10 and has reached a high of $103.20.
Trade approach: A movement as big as 7.36% is a significantly bullish indicator, so this trade is designed to be profitable if AAOI maintains its current direction and does not revert back to pricing on the bearish side of $96.74 on 31-Jul-2026. If possible, the trade has been padded such that slight movement against the trade would still return a profit.
Upside potential: Using this bullish strategy, the trade would be profitable if APPLIED OPTOELECTRONICS INC. closes at or above $96.35 on 31-Jul-2026. Based on our risk-neutral analysis, there is a 58.05% likelihood of this return.
Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment.
To analyze this trade in depth, please visit the Quantcha Options Search Engine.
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