Options activity in X-Energy Inc. surged to over 30,000 contracts by 11:01 a.m. ET on Tuesday, reflecting heightened expectations for volatility ahead of the September 18 expiration. The bulk of the volume centered on a 20,000-contract straddle at the $20 strike, split evenly between calls and puts, with prior open interest at just 7,441 contracts.
The stock rose 4.6% to $18.95, paring a year-to-date decline to 38% from a 52-week high of $37.10. Analysts maintain a mean price target of $38.00 with a "Strong Buy" consensus rating of 1.75. Three-month implied volatility edged down 1.14 points to 92.77%, though the 90/110 skew increased by 3.15 points to 0.13.
X-Energy, which operates through its TRISO-X subsidiary, has secured up to $2.1 billion in Department of Energy cost-share funding. The company holds $1.9 billion in cash and reports no debt, though it remains unprofitable despite 154% revenue growth in its latest quarter. Interior construction has begun on its nuclear fuel facility, with major projects advancing alongside partners Dow and Amazon.
An imminent utility partnership announcement is cited as a potential catalyst, though the direction of any breakout remains uncertain, according to market observers.
