Maruti Suzuki Sees Robust Call Option Activity Amid Mixed Market Signals

Robust Call Option Volumes Signal Investor Interest

On 3 February 2026, Maruti Suzuki’s call options attracted significant attention, with the most active contracts concentrated at strike prices of ₹15,000 and ₹15,500, both expiring on 24 February 2026. The ₹15,000 strike call saw 7,871 contracts traded, generating a turnover of ₹885.37 lakhs, while the ₹15,500 strike call recorded 6,904 contracts with a turnover of ₹327.94 lakhs. Open interest for these strikes remains elevated at 5,273 and 5,270 contracts respectively, underscoring sustained investor interest in these levels.

The underlying stock price stood at ₹14,786, indicating that traders are positioning for a potential upside move beyond the current market price within the next three weeks. The concentration of call activity at these strikes suggests a moderately bullish outlook, with market participants anticipating a rally towards or beyond ₹15,000 in the near term.

Price Action and Technical Context

Maruti Suzuki’s stock price opened with a gap up of 5.67% on 3 February 2026, reaching an intraday high of ₹15,281, a 6.24% increase from the previous close. Despite this strong start, the stock underperformed its passenger car sector by 0.98%, which itself gained 2.96% on the day. The stock has recorded gains over the past two consecutive days, delivering a cumulative return of 3.71% during this period.

From a technical perspective, the stock trades above its 5-day and 200-day moving averages but remains below the 20-day, 50-day, and 100-day averages. This mixed technical picture suggests short-term strength tempered by longer-term resistance levels. The weighted average price of traded volumes skewed towards the lower end of the day’s range, indicating some profit-taking or cautious buying near the highs.

Investor participation has shown signs of moderation, with delivery volumes falling by 10.77% to 3.91 lakh shares on 2 February 2026 compared to the five-day average. Liquidity remains adequate, with the stock’s traded value supporting sizeable trade sizes up to ₹25.71 crores, ensuring smooth execution for institutional and retail investors alike.

Mojo Score and Rating Update Reflect Cautious Stance

Maruti Suzuki holds a Mojo Score of 65.0, placing it in the ‘Hold’ category as of 12 January 2026, a downgrade from its previous ‘Buy’ rating. This adjustment reflects a more cautious stance amid evolving market dynamics and valuation considerations. The company’s market capitalisation stands at a substantial ₹4,64,875.65 crores, categorising it as a large-cap stock with a Market Cap Grade of 1, indicating top-tier market capitalisation within its sector.

The downgrade signals that while the stock retains fundamental strength, investors should be mindful of near-term volatility and sector headwinds. The automobile sector, particularly passenger cars, has shown resilience but faces challenges such as raw material cost pressures and shifting consumer preferences towards electric vehicles.

Options Expiry and Investor Positioning

The expiry of options on 24 February 2026 is shaping up as a critical juncture for Maruti Suzuki. The heavy call option volumes at ₹15,000 and ₹15,500 strikes suggest that traders are betting on a price recovery or breakout above these levels. Open interest data corroborates this, with substantial outstanding contracts that could influence price movements as expiry approaches.

Such positioning often indicates a bullish sentiment, but the relatively close proximity of the strike prices to the current underlying value also points to a cautious optimism rather than aggressive speculation. Investors appear to be hedging their bets, balancing potential upside with the risk of consolidation or pullback.

Sector Comparison and Market Context

While Maruti Suzuki underperformed its sector on the day, the broader passenger car segment gained 2.96%, and the Sensex rose by 2.57%. This divergence highlights stock-specific factors influencing Maruti Suzuki’s performance, including investor sentiment around its near-term earnings outlook and competitive positioning.

Given the stock’s recent two-day rally and technical setup, the market is likely digesting recent gains while awaiting fresh catalysts such as quarterly results or policy announcements. The active call option market suggests that traders are positioning ahead of these events, anticipating potential volatility and directional moves.

Investor Takeaway: Balanced Optimism with Vigilance

For investors tracking Maruti Suzuki, the current surge in call option activity offers valuable insight into market expectations. The concentration of open interest and traded volumes at strikes slightly above the current price suggests a cautiously optimistic outlook, with traders anticipating a potential rally towards ₹15,000–₹15,500 by late February.

However, the recent downgrade to a ‘Hold’ rating and mixed technical signals counsel prudence. Investors should monitor upcoming earnings releases, sector developments, and broader market trends closely. The stock’s liquidity and large market capitalisation provide ample scope for strategic entry or exit, but timing will be crucial given the evolving landscape.

Overall, Maruti Suzuki remains a key player in the automobile sector with solid fundamentals, but near-term price action will likely be influenced by option expiry dynamics and sector momentum.

Looking Ahead

As the 24 February expiry approaches, market participants will be watching open interest shifts and price movements closely. A sustained move above ₹15,000 could trigger further call option buying and potentially attract fresh institutional interest. Conversely, failure to breach these levels may lead to profit-taking and a reversion to consolidation.

Given the stock’s recent performance and option market activity, investors should remain alert to volatility and consider hedging strategies where appropriate. The interplay between technical resistance and bullish option positioning creates a nuanced environment requiring careful analysis.

Summary

Maruti Suzuki India Ltd’s active call option market ahead of the 24 February expiry highlights a cautiously bullish sentiment among traders. Despite a recent rating downgrade and mixed technical signals, the stock’s strong liquidity and large-cap status make it a focal point for investors in the automobile sector. Monitoring option open interest and price action in the coming weeks will be essential for gauging the stock’s near-term trajectory.

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