Innovative Investors Flock to Verizon Options

Smart Money is Betting Big in AT&T Options

The telecommunications giant AT&T (T) has been a hot topic in the options market lately, with smart money investors piling in on the stock's potential upside. According to data from Benzinga Pro, the number of bullish call options contracts traded on AT&T has surged in recent weeks, with many market participants betting on a continued rally in the stock.

One of the main catalysts driving the increased optimism is AT&T's recent announcement that it plans to spin off its WarnerMedia division into a separate publicly traded company. This move has sparked hopes that the company will be able to focus on its core wireless and broadband businesses, which could lead to improved profitability and a boost to the stock price.

Another factor contributing to the upbeat sentiment is AT&T's strong earnings report last quarter, which saw the company beat expectations and announce a significant increase in its dividend payout. This has helped to alleviate concerns about the company's ability to generate cash flow and return value to shareholders.

As a result, many investors are now betting on AT&T's potential upside, with the number of bullish call options contracts traded on the stock surging in recent weeks. According to Benzinga Pro, the number of bullish call options contracts traded on AT&T has increased by over 50% in the past month alone, with many market participants targeting a strike price of around $35.

While some may be concerned about the potential risks associated with AT&T's spin-off plans, many market participants believe that the company's core businesses remain strong and that the spin-off will ultimately create value for shareholders. As such, the increased optimism in the options market is likely to continue to drive the stock price higher in the coming weeks and months.