Super Micro is ramping on waves of bullish option demand

Shares of AI server company Super Micro Computer are up about 5% today on no news and a boatload of call option buying. This comes on the heels of Wednesday’s S&P 500-leading 8.8% advance for the firm.

As of 3:11 p.m. ET, more than 593,000 call options had changed hands, the most in over a month and more than double its one-month average.

The last time we saw call demand really pick up like this was just ahead of the announcement that Super Micro booked a $20 billion deal to sell servers to Saudi Arabian data center company DataVolt.

There’s no real fundamental news to speak of with regard to Super Micro, but there was some fundamental news earlier this week that created a dip to buy:

Shares tumbled nearly 10% on Monday after the company announced a potentially dilutive convertible note offering, heading to the bottom of the range that’s prevailed since news of its aforementioned Middle East deal broke.

It seems traders were eager to look for a rebound in Super Micro and its continued exposure to the AI boom, as the offering was to “fund working capital for growth and business expansion.”

Shares are now up 8% on the week and 61% year to date.