Buy Call GRAB

February 21, 2025
Buy the Grab Holdings (GRAB) January 5 Calls (exp. 1/16/2026) for $1.60 or less.

As I wrote earlier this week, GRAB was near the top of my watchlist given the overwhelmingly bullish option activity noted below.

Buyer of 11,000 Grab Holdings (GRAB) January 4 Calls (exp. 2027) for $2.75 – Stock at 5.25

Buyer of 12,000 Grab Holdings (GRAB) July 5.5 Calls for $1.05 – Stock at 5.25

Buyer of 8,000 Grab Holdings (GRAB) July 6 Calls for $0.90 – Stock at 5.25

Buyer of 5,000 Grab Holdings (GRAB) July 5 Calls for $0.85 – Stock at 4.80

Buyer of 10,000 Grab Holdings (GRAB) January 5 Calls (exp. 2027) for $2 – Stock at 4.80

Buyer of 6,000 Grab Holdings (GRAB) January 5.5 Calls for $1.20 – Stock at 4.90

Buyer of 35,000 Grab Holdings (GRAB) July 6 Calls for $0.60 – Stock at 5

Buyer of 15,000 Grab Holdings (GRAB) March 5 Calls for $0.55 – Stock at 5.

The only reason we hadn’t yet bought a position was because earnings were coming very soon, and option prices were through-the-roof expensive. Fast forward a couple days and GRAB pulled back marginally on earnings (fine) and option prices fell (great). Also, this morning JPMorgan upgraded the stock following earnings from Neutral to Overweight, noting the company’s guidance could prove conservative.

Let’s get involved via a longer-term call buy.

To execute this trade you need to:

Buy to Open the GRAB January 5 Calls (exp. 1/16/2026)

The most you can lose on this trade is the premium paid, or $160 per call purchased.

The risks I see in this trade are the following:

First off, this is a speculative stock (somewhat like SOFI) so there are going to be some ups and downs, and if speculative stocks get hit, GRAB will likely also fall.

Second, the market continues to look good one day and then bad the next. And the last two days it’s been not great, so there is general market risk.

Finally, this is a Southeast Asia play, which brings in many other layers of geopolitical risk.

That being said, the option activity is too strong to pass up, the stock looks good, and without a little bit of risk, there can’t be big reward. I’m buying today.