Options Traders Target Tech Stock Amid February Rally

Core Viewpoint - Super Micro Computer Inc (SMCI) has experienced a significant rally, increasing by 90.7% since the beginning of February, but is currently facing a potential decline after reaching a five-month peak [1]. Stock Performance - SMCI is on track for a third consecutive daily loss after a substantial rise [1]. - The stock is currently on the short sell restricted (SSR) list due to its volatility [1]. Options Trading Activity - SMCI has gained popularity among options traders, ranking among the stocks with the highest options volume in the past 10 days [2]. - A total of 12,786,779 calls and 6,860,390 puts were exchanged, with the February 60 call being the most active [2]. - The stock's 50-day call/put volume ratio is 2.08, indicating a strong preference for calls, sitting in the 98th percentile of its annual range [3]. Volatility and Performance - SMCI has historically outperformed options traders' volatility expectations, reflected in its Schaeffer's Volatility Scorecard (SVS) of 94 out of 100 [4]. Short Interest - Despite the positive price movement, short interest in SMCI has increased by 18.8% over the past two weeks, now representing 18.3% of the stock's available float [5].