EHang Holdings Ltd (EH), a pioneer in autonomous aerial vehicle (AAV) technology and urban air mobility, saw its stock soar 9.5% intraday on Tuesday amid a surge in bullish sentiment and strong options activity.

According to market data, EHang's call option volume was significantly higher than normal, with 4,032 calls trading, double the expected volume. Additionally, the implied volatility for EHang's options increased by over 1 point to 61.34%, indicating heightened expectations for price swings and potentially further upside.

The bullish options activity suggests that traders are positioning for continued gains in EHang's stock price, likely driven by optimism surrounding the company's innovative technologies and the growing demand for autonomous driving and AI solutions in various industries.