Broadcom closed at $356.74, declining 0.56 % from the prior session.

Despite the modest pullback, large options activity revealed a distinctly bullish tone. The standout transaction was a $2.19 million put sale at the $290 strike expiring in March 2027, signaling confidence in long-term downside support. Other notable trades were absent, reinforcing the view that sophisticated investors are using elevated premiums to express constructive positioning rather than hedging against a deeper decline.

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Options Indicators

AVGO’s implied volatility is 53.15%, and with an IV percentile of 63.35%, current volatility conditions sit in a broadly neutral range rather than at an extreme. At the same time, the IV/HV ratio of 1.17 shows implied volatility is running modestly above historical volatility, suggesting options are priced with a slight premium to recent realized movement, but not at a notably stretched level. The Call/Put volume ratio is 1.63.

Large Trades

A PUT sale worth $2.19 million stood out as the key large trade, with 1,250 contracts sold on the March 19, 2027 $290.00 put. With AVGO referenced at $356.74, this strike sits out of the money, making the position structurally bullish to neutral-bullish. Selling an out-of-the-money put at this level typically reflects willingness to accumulate shares at a lower effective entry point or to monetize elevated premium while expressing confidence that the stock will remain above $290.00 into expiration.

Overall, the large-trade flow points clearly to a bullish bias in AVGO. The fact that the only notable block was an out-of-the-money put sale suggests investors are leaning toward downside support rather than bracing for a deeper decline, indicating confidence in the stock’s medium- to long-term floor and a preference for premium collection over defensive positioning.

Strategy Reference

For a seller seeking lower assignment probability while still collecting premium, the June 2027 $250 put offers a wider cushion below current support; alternatively, a bull put spread such as selling the $290 put and buying the $250 put can reduce margin requirements while maintaining a defined-risk bullish posture.