$OKLO call prices heat up

Bullish option positions opened in Oklo Inc (OKLO) are returning big gains for upside traders as shares trade higher today.

On Feb. 3, Market Rebellion’s Unusual Activity Service detected the purchase of 2,100 Weekly $50 calls, expiring Feb. 7, for $0.28 to $0.65 above the existing open interest of 812 with shares at $38.23.

Those calls traded for as much as $9.10 today, a 1,300% return, while the stock rose 54.51% at the same time, underscoring how quickly options can far outperform their underlying shares.

Long calls lock in the price where investors can buy a stock, letting them position for a rally at limited cost with the potential for significant leverage. They carry less risk than owning shares because the most that can be lost is the price of the options no matter how far the stock might fall.

OKLO was last higher by 15.29% today at $55.05.