Polycab India Ltd Sees Surge in Active Put Options with 10,100 Contracts at Rs 6,700

Polycab India Ltd, a prominent player in the electrical cables industry, has emerged as one of the most active stocks in the options market today, particularly in put options. The company’s underlying stock, POLYCAB, is currently valued at Rs 6,791.50. Notably, two put options with expiry dates set for August 28, 2025, have garnered significant attention.
The put option with a strike price of Rs 6,500 saw 3,628 contracts traded, resulting in a turnover of Rs 439.62 lakhs, while the Rs 6,700 strike price option recorded 10,100 contracts traded and a turnover of Rs 2,188.67 lakhs. Open interest for these options stands at 796 and 1,068 contracts, respectively, indicating a robust interest in these positions.

In terms of stock performance, Polycab India has underperformed its sector by 0.7%, with a one-day return of -1.84%. The stock experienced a trend reversal after two consecutive days of gains, hitting an intraday low of Rs 6,680, a decline of 3.54%. The weighted average price suggests that more volume was traded closer to this low price. Additionally, the stock remains above its 50-day, 100-day, and 200-day moving averages, although it is below its 5-day and 20-day moving averages.

Investor participation has seen a decline, with delivery volume dropping by 46.01% compared to the five-day average. Despite these fluctuations, Polycab India maintains sufficient liquidity for trades sized at Rs 5.54 crore, reflecting its position as a mid-cap entity with a market capitalization of Rs 1,00,818.00 crore. Overall, the activity in Polycab's put options highlights the current market dynamics surrounding this large-cap stock.