Nvidia stock is again separating from the broader semiconductor tape. Chip peers tracked by the VanEck Semiconductor ETF fell about 5%. Yet Nvidia stock fought into the green, helped by heavy call buying after the company disputed a delay report on its next-gen Kyber racks.
According to CNBC, Nvidia stock was trading just under $200. That level has been a magnet since late last month. The shares were still down about 17% from the May record and up only about 4% on the year as money rotated into memory names.
How options flows backed Nvidia stock
Meanwhile, more than 1.5 million Nvidia calls traded Tuesday versus under 690,000 puts. ThinkorSwim data showed more than twice as many calls bought as puts. In contrast, SMH saw puts outpace calls almost four-to-one. Therefore, Nvidia stock had a bullish options backdrop that the sector ETF lacked.
Also, one cluster of trades bought about $3.5 million of the July 200-strike calls. Those contracts still needed roughly 5.5% more upside to pay off by month-end. SpotGamma data showed the 200-strike as the most popular near-term call, with almost 170,000 contracts and about $11 million in premium.
Axo Markets read on Nvidia stock leadership
For Markets desks, this is relative-value trading inside AI. Nvidia stock is no longer the only AI vehicle. Memory makers have taken share of the narrative. Yet when the AI leader firms while SMH sells off, options markets are betting the single-name story can reassert itself.
In fact, the dispute with SemiAnalysis over Kyber timing mattered because it hit the manufacturing narrative. Nvidia’s pushback, plus call demand, helped stabilize the tape. Overall, Nvidia stock can still lead even when the chip complex is risk-off — if flows stay concentrated in the name.
What to watch next for Nvidia stock
Finally, watch whether Nvidia stock can reclaim and hold $200 with follow-through. Cross-check SMH breadth, memory-name leadership, and whether call-heavy positioning fades after the short-dated expiries.