XOM Call Spread Sees 1,798 Contracts—Buyer Up 75.2% After $27K Bet
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Large-Scale XOM Call Spread Buyer Scores a 75.2% Gain in Hours
A single trader placed a sizable call spread in Exxon Mobil (XOM) options—snapping up 1,798 contracts in the October 24, 2025 114/116 call spread at a volume-weighted average price (VWAP) of $0.30 per spread. Within just over two hours, as XOM's stock price ticked up by $0.28, this spread value climbed to $0.53—rewarding the buyer with an impressive 75.2% gain, or $0.23 per contract. It’s a bold move that points to tactical positioning in the short-term direction of XOM, even as market volatility skews flash warning signals.
Key Details: XOM Call Spread Trade
| Expiration | Strike Prices | Contracts | Days to Expiration | VWAP Trade Price | Spread Value at 11:40am | Gain per Spread | Stock Reference Price (Time of Trade) |
|---|---|---|---|---|---|---|---|
| 24-Oct-25 | 114-116 | 1,798 | 7 | $0.30 | $0.53 | $0.23 (75.2%) | $112.29 |
The buyer risked just over $27,000, seeking up to $153,000 in maximum profit if XOM rises past $116 by expiration. At initiation, the stock was trading at $112.29. For further breakdowns of call spread or multi-leg trades like this one, visit the Multi-Leg Trade Analyzer.
Profit Mechanics: Trade Needs XOM Above $116 by Expiry
This strategy caps both the potential loss and gain. The max payout arrives if XOM closes above $116 on October 24, 2025, in which case each spread nets $2 minus the $0.30 paid—a solid reward for a less-than-2% move in the underlying. With just a week to expiry and the current price at $112.57, the move would require an additional 3.05% rally from here—certainly possible in an energy giant like Exxon given historical volatility.
Technical Indicators Are Mixed—Short-Term Outperformance but Long-Term Lag vs. SPY
| Duration | XOM Return | Low | High | SPY Return |
|---|---|---|---|---|
| Today | +1.9% | 111.18 | 112.62 | 0.0% |
| 2 Week | +1.3% | 110.39 | 115.51 | -1.3% |
| 1 Month | -1.7% | 110.39 | 118.36 | +0.4% |
| 3 Month | +1.3% | 105.53 | 118.36 | +6.1% |
| 6 Month | +10.1% | 101.19 | 118.36 | +26.3% |
| 1 Year | -3.3% | 97.80 | 123.21 | +14.7% |
| YTD | +7.6% | 97.80 | 119.91 | +13.6% |
| 3 Year | +25.1% | 95.77 | 126.34 | +90.5% |
| 5 Year | +284.6% | 31.11 | 126.34 | +99.6% |
XOM’s stock price currently stands at $112.57—up 1.93 points (1.74%) on the day and breaking above a technical resistance of $112.00. While XOM has outperformed SPY over two weeks (+1.3% vs. -1.3%), its 1-month, 3-month, 6-month, and 1-year returns all lag the S&P 500, hinting at a less favorable longer-term trend. However, on the short horizon relevant to the spread, it’s recently shown momentum and sits above most key moving averages: just -0.5% off the 20-day average and +0.9% above the 50-day average.
Option Skew Indicators Are Bearish Despite Short-Term Strength
Despite the recent pop and call spread interest, XOM’s option skew is flashing a warning. The 30-day implied volatility skew indicator currently ranks at 17%—putting it near the bottom of its 52-week range, which is a sign of bearish market sentiment from the options market's forward-looking view. In other words, while this specific trade expresses near-term optimism, the overall option market seems more cautious.
What This Trade Means—and What to Watch Next
Why take on a short-dated, out-of-the-money call spread in XOM? With oil names sometimes moving swiftly on supply, demand, or policy news, a sharp rally isn’t out of the question. The limited risk ($0.30 per spread) may look attractive to traders seeking a quick payoff for a relatively small move. However, with bearish signals from the options skew and longer-term underperformance versus the S&P 500, there’s clear disagreement among different types of market participants.
If you’re interested in exploring similar setups, or want to spot other notable call spreads or multi-leg trades, head over to the Multi-Leg Option Trades Screener for up-to-date flow and analytics. For now, XOM watchers should keep an eye on that $116 mark and how sentiment evolves over the next week—especially as energy markets remain prone to surprises.
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