Nvidia options traders bank on longer-term stock recovery 

Options traders cut some bearish Nvidia positions and shifted bullish bets further into 2027 after CEO Jensen Huang announced he was stepping down. The moves suggest some investors still expect the shares to recover, while the leadership change has raised questions about the company’s future direction.

Chief Financial Officer Colette Kress is interim CEO while Nvidia seeks a permanent successor. Shares fell 4.84 per cent to US$165.40, and 90-day implied volatility rose to about 52 per cent from 33 per cent a month earlier, ahead of next week’s earnings report. Trades included a put-options deal that brought in about US$18.9 million and call spreads costing about US$18.8 million, betting on a rise of roughly 16 per cent by March.