Bharti Airtel Ltd Sees Surge in Call Option Activity Ahead of February Expiry

Robust Call Option Volumes Highlight Bullish Sentiment

Data from the derivatives market reveals that Bharti Airtel’s call options expiring on 24 February 2026 have witnessed exceptional trading interest. The ₹2,000 strike call options recorded 7,224 contracts traded, generating a turnover of ₹1,429.52 lakhs, while the ₹2,100 strike calls saw 5,051 contracts traded with a turnover of ₹200.34 lakhs. Open interest stands at 3,601 and 4,616 contracts respectively for these strikes, underscoring sustained investor engagement.

Given the underlying stock price of ₹2,008.60 as of 6 February 2026, the concentration of call option activity near-the-money and slightly out-of-the-money strikes suggests that market participants are positioning for a potential upward move in the near term. The higher open interest at the ₹2,100 strike indicates a notable degree of bullishness, with traders anticipating the stock to breach this level before expiry.

Stock Performance and Technical Indicators

Bharti Airtel’s stock price has outperformed its sector by 0.41% on the day, delivering a 1-day return of 0.85% compared to the Telecom - Services sector’s 0.45% gain and the Sensex’s 0.40% decline. The stock trades above its 5-day, 20-day, and 200-day moving averages, signalling short- and long-term strength, although it remains below the 50-day and 100-day averages, indicating some resistance in the medium term.

Investor participation has also risen, with delivery volumes reaching 48.95 lakh shares on 5 February 2026, a 13.49% increase over the five-day average. This heightened liquidity supports the active options market and suggests growing conviction among market participants.

Mojo Score and Rating Revision

MarketsMOJO’s proprietary Mojo Score for Bharti Airtel currently stands at 51.0, reflecting a Hold rating, a downgrade from the previous Buy grade assigned on 29 December 2025. The downgrade stems from a reassessment of the company’s fundamentals and valuation metrics amid evolving market conditions. Despite the Hold rating, the stock’s large market capitalisation of ₹11,35,888 crore and liquidity profile make it a key player in the telecom sector.

Expiry Patterns and Investor Positioning

The February expiry cycle is shaping up as a critical juncture for Bharti Airtel. The concentration of call option volumes at the ₹2,000 and ₹2,100 strikes, both expiring on 24 February 2026, indicates that traders are betting on the stock maintaining or surpassing these levels within the next three weeks. The open interest data corroborates this view, with a combined total of over 8,200 contracts outstanding at these strikes.

Such positioning often reflects a bullish bias, as investors seek to capitalise on potential upside while limiting downside risk through options. The relatively high turnover at the ₹2,000 strike, which is slightly in-the-money, suggests that some participants are locking in gains or rolling positions forward, while the ₹2,100 strike activity points to speculative bets on further price appreciation.

Sector Context and Market Outlook

Within the Telecom - Services sector, Bharti Airtel remains a dominant force, with a market cap grade of 1 signalling its large-cap status. The sector has seen moderate gains recently, but Bharti Airtel’s outperformance relative to peers and the broader Sensex highlights its resilience amid competitive pressures and regulatory challenges.

Analysts note that the company’s strategic investments in network expansion and digital services continue to underpin its growth prospects. However, the recent Mojo Grade downgrade to Hold reflects caution around valuation levels and near-term earnings visibility.

Investor Takeaways and Strategic Considerations

For investors, the surge in call option activity around Bharti Airtel offers valuable insights into market sentiment and potential price trajectories. The active trading at strikes just above the current market price suggests that the market is pricing in moderate upside potential over the coming weeks.

However, the Hold rating and recent downgrade caution against overly aggressive positioning. Investors should weigh the company’s solid fundamentals and sector leadership against valuation concerns and broader market volatility.

Options traders, in particular, may find opportunities in the near-term expiry cycle to implement strategies that benefit from expected price movements while managing risk through strike selection and expiry timing.

Overall, Bharti Airtel’s options market dynamics reflect a nuanced outlook: bullish interest tempered by prudent caution, consistent with its current Mojo Grade and market environment.

Conclusion

Bharti Airtel Ltd’s prominence in the call options market ahead of the 24 February 2026 expiry underscores its continued relevance as a bellwether stock in the Telecom - Services sector. The concentrated activity at ₹2,000 and ₹2,100 strike prices, combined with solid stock performance and rising investor participation, signals a cautiously optimistic market stance.

While the downgrade to a Hold rating advises measured optimism, the company’s large-cap stature and liquidity profile ensure it remains a focal point for both equity and derivatives traders. Investors should monitor upcoming earnings, sector developments, and broader market trends to calibrate their positions effectively.

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