Options traders are increasingly viewing Meta Platforms as a leading play in the consumer artificial intelligence sector, driving an extraordinary spike in trading activity. According to data from Cboe LiveVol and SpotGamma, options volume on Monday reached approximately 4.5 times the 30-day average, with nearly $3.9 billion in total premium changing hands.
The bullish sentiment was evident in the ratio of calls to puts, with traders purchasing roughly twice as many call options as put options. Seven of the ten most actively traded contracts were either bullish or neutral in nature. The most heavily traded contracts were zero-day-to-expiry options with strike prices between $720 and $745, which are currently in the money, while significant volume was also observed in mid-October expirations at the $775 and $800 strikes.
The surge in derivatives activity coincided with a 12% single-day gain for Meta shares, bringing the stock within 7% of its all-time high set in August 2025. This marks a 21% rally since the company unveiled its personal AI assistant, Muse. Additionally, Meta announced plans to construct Petal, a subsea cable designed to facilitate data transfer across the Atlantic Ocean.
Brent Kochuba, founder of options analytics platform SpotGamma, noted the intensity of the market movement. “The inflows in options are huge,” Kochuba said, attributing the enthusiasm to the ongoing AI hype surrounding the Muse product.
The market reaction follows strong early adoption metrics for Muse. Launched on September 8, the AI tool has topped app store charts, accumulating 730,000 downloads in its first five days, according to analytics firm Sensor Tower and a recent CNBC report.
SpotGamma data indicates that over $1 billion in call premium was initiated by buyers, while more than $850 million was tied to selling activity, suggesting a market dynamic that combines bullish speculation with hedging strategies. One of the largest trades of the session involved a trader taking a net short position of approximately $20 million through spread trades centered on the sale of a one-by-two 710/765-strike call spread expiring on October 16, a strategy that profits if Meta’s stock falls below $740.
As of the latest trading data, Meta shares closed at $741.17, reflecting a gain of $75.94, or 11.42%, with after-hours trading showing minimal movement at $741.38.
The Petal subsea cable announcement is a nice touch. Infrastructure investment usually signals long-term conviction, not just short-term hype.
Muse getting 730k downloads is impressive, but calling it a sustainable AI moat feels like a stretch. Will people really pay for this?
That options volume is absolutely insane. Four and a half times the average? Someone is betting big on Meta staying above $740 here.