GameStop's stock (GME) experienced a 7% increase on Thursday, reaching $27.15 per share in morning trading. This surge comes as investors eagerly await confirmation regarding the potential sale of options held by Keith Gill, also known as influencer Roaring Kitty.

Market analysts have observed a significant uptick in trading activity for short-dated GameStop options contracts on Wednesday. This has led to speculation that Keith Gill might have sold a portion of his disclosed options position in the company. Gill rose to prominence during the meme stock surge earlier this year and recently revealed his extensive GameStop stock and options holdings.

According to a screenshot shared on Reddit on June 2, Gill disclosed that he held 120,000 GameStop June 21 call options at a strike price of $20. These options were acquired at a cost of $5.6754 per contract, amounting to a total value of $68.1 million. In addition, Gill owned 5 million GameStop shares worth $115.7 million as of June 2.

The trading activity on Wednesday saw around 93,000 June call options being traded, with some transactions taking place in large blocks of 5,000 contracts or more. However, it is yet to be confirmed whether Gill was behind these trades or if the contracts were sold.

Trade Alert data revealed that the contracts were traded at an average price of $7.65, with several trades occurring below the bid price, indicating a potential seller attempting to offload the contracts. Chris Murphy, co-head of derivatives strategy at Susquehanna International Group, noted that it appears Gill may be closing his position. He stated, "While he did not finish closing, he probably has enough cash now to exercise the rest if he wanted to."

Overall, GameStop options volume on Wednesday surged to 1.2 million contracts, marking a 66% increase compared to the average daily volume for the stock's options over the last month, as per Trade Alert data. Gill's options position has experienced considerable volatility in recent sessions, with its value peaking at $341 million before briefly dipping $7.5 million into the red on Tuesday.

Market participants have been closely monitoring Gill's position since his disclosure. Steve Sosnick, Interactive Brokers' chief strategist, commented, "We won't know for sure until we see the open interest figures [Thursday] morning, but I can't imagine who else would pound out such huge sales at discounts."

As of now, Gill's 120,000 contracts are collectively worth $76.8 million at $6.40 each, resulting in an $8.7 million gain from his purchase price.

Investors continue to watch for any updates on the potential options sale by Roaring Kitty, as it could have a significant impact on GameStop's stock and the overall market sentiment surrounding the company.