Oracle closed at USD132.60, down 3.28%.

Despite the decline, large options activity leaned bullish. A single short put block valued at USD5.80 million dominated the tape, with 2,000 contracts sold at the USD120.00 strike expiring December 15, 2028. With Oracle referenced at USD132.60, the position was out of the money and reflects confidence that downside will stay contained. Coupled with a call/put volume ratio of 2.14, the overall flow suggests institutional traders are using the dip to express a constructive long-dated view.

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Options Indicators

Oracle’s implied volatility is 54.89%, and with an IV percentile of 27.49%, current volatility sits on the lower side of its recent range, suggesting options are relatively cheaply priced rather than expensive. The IV/HV ratio of 1.07 indicates implied volatility is only slightly above historical volatility, which supports the view that current option premiums are not notably stretched.

The Call/Put volume ratio is 2.14.

Large Trades

A USD5.80 million short put was the standout large trade in ORCL, with 2,000 contracts sold at the USD120.00 strike for expiration on December 15, 2028. With ORCL referenced at USD132.60, this put was out of the money at the time of the trade, making it a moderately bullish income-style position. Selling an out-of-the-money put at that strike suggests the trader is comfortable owning shares lower down or, more likely, is expressing confidence that ORCL will remain above USD120.00 through expiration while collecting premium upfront.

Overall, the large-trade flow points to a clearly bullish institutional stance on ORCL. The fact that the only notable block was an out-of-the-money put sale indicates a constructive view centered on downside being limited rather than on an aggressive upside chase. In other words, the market tone implied by the bulk order activity is favorable, with traders appearing willing to monetize volatility and lean bullish on ORCL’s longer-dated price stability.

Strategy Reference

For a lower assignment probability and smaller margin commitment than the reported trade, a seller could write the USD110.00 put for the same December 2028 cycle, while a defined-risk alternative would be a USD115.00/110.00 bull put spread to cap downside exposure.