Palantir closed at USD 167.99, down 2.09%.
The options tape was dominated by large premium-selling structures, with a naked call sale worth USD 11.20 million and a bear call spread collecting USD 5.18 million in net credit. Both trades positioned against sustained upside into 2027, establishing a decisively bearish institutional tone for the session.
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Options Indicators
Palantir’s implied volatility is 54.53%, and with an IV percentile of 33.47%, current option pricing sits in a broadly neutral volatility zone rather than an unusually cheap or expensive extreme. The IV/HV ratio of 0.94 suggests implied volatility is running slightly below realized volatility, indicating the options market is not applying a significant premium versus recent actual movement.
The Call/Put volume ratio is 1.40.
Large Trades
A call-selling position worth USD 11.20 million was the largest single-leg trade of the day, with 10,000 contracts sold on the February 19, 2027 $190.0 call. With PLTR referenced at $167.99, that strike sits out of the money, making this a clearly bearish-to-neutral income trade that leans on the stock staying below $190 into expiration. Strategically, the seller appears to be expressing capped upside expectations while collecting premium, which is typically consistent with a view that near-to-medium-term upside may be limited.
A bearish call spread collecting a net credit of USD 5.18 million was the other standout large trade, built by selling 2,500 January 15, 2027 $150.0 calls and buying 2,500 January 15, 2027 $200.0 calls. This is a classic bear call spread: the trader takes in premium upfront and benefits if PLTR remains below the short-call region, while the long $200.0 call caps upside risk. With the short $150.0 call in the money and the long $200.0 call out of the money versus the $167.99 reference price, the structure suggests a deliberate premium-collection strategy combined with a bearish directional stance, likely reflecting expectations that the stock will struggle to sustain a major rally over time.
Overall, the bulk-order flow points to a clear bearish bias in PLTR. The dominant trades were both call-side premium-selling structures, including a large naked call sale and a sizable bear call spread, which together signal expectations for restrained upside rather than aggressive bullish follow-through. While there were a few smaller bullish prints elsewhere in the tape, they were too limited in size to offset the strong negative tone established by the major orders, leaving the overall large-trade sentiment decisively bearish.
Strategy Reference
For traders seeking a low assignment probability, selling a shorter-dated out-of-the-money call above the February 2027 $190.0 strike—such as a monthly $200.0 or higher call—would offer a wider cushion, while a defined-risk bear call spread remains preferable for those aiming to limit margin requirements and cap tail risk.
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