Signet Jewelers options analysis: a bull call spread targets $115 by November

Signet Jewelers Ltd (SIG) experienced a significant increase in options trading volume on October 12, 2026, according to Bloomberg data. The stock was trading at $105.97, marking a 0.71% increase. There were a total of 4,209 options traded that day, with 3,979 calls and 230 puts. The implied volatility for the 3-month period decreased by 0.52 percentage points to 45.34%, which is relatively high for a retailer, indicating that the market is pricing in significant price movements.

To offset some of the expensive premium on calls, one large trade involved selling the $115 call option. This strategy, known as a bull call spread, aims to target a price of $115 by November 20, the expiration date of the options. The skew between the 90-strike and 110-strike calls decreased by 0.58 percentage points to 1.13, making the downside put options relatively cheaper.

This could reflect a less fearful sentiment among traders. However, it is important to note that this block trade could be the view of a single large investor, part of a larger trading package, or tied to a specific stock position. The timing of the November expiration date, following the company's next earnings report, could also be a catalyst for trading activity. This analysis was assisted by AI technology and reviewed by a human editor.