How are TMH bear put spread max profit and max loss calculated?

Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit. For the TMH bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 30.50%), the computed maximum profit is $185.00 per contract and the computed maximum loss is -$115.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a TMH bear put spread?

The breakeven for the TMH bear put spread priced on this page is roughly $50.85 at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current TMH market-implied 1-standard-deviation expected move is approximately 8.74%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current TMH implied volatility affect this bear put spread?

TMH ATM IV is at 30.50% with IV rank near 33.27%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.

TMH Bear Put Spread Strategy

TMH (Toyota Motor Corporation ADRhedged), in the Consumer Cyclical sector, (Auto - Parts industry), listed on AMEX.

The Series, under normal circumstances, invests at least 95% of its net assets in American Depositary Receipts (“ADRs”) of the Toyota Motor Corporation (the “Company”). It invests in the ADRs of the company and a currency swap (the “Currency Hedge Contract”) designed to hedge against fluctuations in the exchange rate between the U.S. dollar and the Japanese Yen (“Local Currency”). The fund is non-diversified.

TMH (Toyota Motor Corporation ADRhedged) trades in the Consumer Cyclical sector, specifically Auto - Parts, with a market capitalization of approximately $3.75B, a trailing P/E of 44.31, a beta of -0.15 versus the broader market, a 52-week range of 45.5-65.814, average daily share volume of 1K, a public-listing history dating back to 2025. These structural characteristics shape how TMH etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of -0.15 indicates TMH has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. The trailing P/E of 44.31 is on the rich side, which tends to correlate with higher earnings-window IV expansion as the market debates whether forward growth supports the multiple. TMH pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a bear put spread on TMH?

A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width.

Current TMH snapshot

As of May 15, 2026, spot at $52.07, ATM IV 30.50%, IV rank 33.27%, expected move 8.74%. The bear put spread on TMH below is built from the same end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 34-day expiry.

Why this bear put spread structure on TMH specifically: TMH IV at 30.50% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 8.74% (roughly $4.55 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated TMH expiries trade a higher absolute premium for lower per-day decay. Position sizing on TMH should anchor to the underlying notional of $52.07 per share and to the trader's directional view on TMH etf.

TMH bear put spread setup

The TMH bear put spread below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With TMH near $52.07, the first option leg uses a $52.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed TMH chain at a 34-day expiry; the cross-strike IV skew is reflected directly in the per-leg values rather than approximated. Quantity sizing assumes one contract per option leg (or 100 TMH shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Put	$52.00	$1.91
Sell 1	Put	$49.00	$0.76

TMH bear put spread risk and reward

Net Premium / Debit: -$115.00
Max Profit (per contract): $185.00
Max Loss (per contract): -$115.00
Breakeven(s): $50.85
Risk / Reward Ratio: 1.609

Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit.

TMH bear put spread payoff curve

Modeled P&L at expiration across a range of underlying prices for the bear put spread on TMH. Each row is one sampled price point from the computed payoff curve; the full curve uses 200 price points internally before being summarized into 10 rows here.

Underlying Price	% From Spot	P&L at Expiration
$0.01	-100.0%	+$185.00
$11.52	-77.9%	+$185.00
$23.03	-55.8%	+$185.00
$34.55	-33.7%	+$185.00
$46.06	-11.5%	+$185.00
$57.57	+10.6%	-$115.00
$69.08	+32.7%	-$115.00
$80.59	+54.8%	-$115.00
$92.10	+76.9%	-$115.00
$103.62	+99.0%	-$115.00

When traders use bear put spread on TMH

Bear put spreads on TMH reduce the cost of a bearish TMH etf position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.

TMH thesis for this bear put spread

The market-implied 1-standard-deviation range for TMH extends from approximately $47.52 on the downside to $56.62 on the upside. A TMH bear put spread caps both the risk and the reward of a bearish position; relative to an outright long put on TMH, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current TMH IV rank near 33.27% is mid-range against its 1-year distribution, so the IV signal is neutral; the bear put spread thesis on TMH should anchor more to the directional view and the expected-move geometry. As a Consumer Cyclical name, TMH options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to TMH-specific events.

TMH bear put spread positions are structurally moderately bearish; the modeled P&L assumes European-style exercise at expiration and ignores early assignment, transaction costs, dividends paid before expiry on the stock leg (when present), and the bid-ask spread on the listed chain. TMH positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move TMH alongside the broader basket even when TMH-specific fundamentals are unchanged. Long-premium structures like a bear put spread on TMH are particularly exposed to IV-crush risk through scheduled events (earnings, FDA decisions, central-bank meetings) where IV typically contracts post-event regardless of the directional outcome. Always rebuild the position from current TMH chain quotes before placing a trade.

Frequently asked questions

What is a bear put spread on TMH?: A bear put spread on TMH is the bear put spread strategy applied to TMH (etf). The strategy is structurally moderately bearish: A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width. With TMH etf trading near $52.07, the strikes shown on this page are snapped to the nearest listed TMH chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are TMH bear put spread max profit and max loss calculated?: Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit. For the TMH bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 30.50%), the computed maximum profit is $185.00 per contract and the computed maximum loss is -$115.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a TMH bear put spread?: The breakeven for the TMH bear put spread priced on this page is roughly $50.85 at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current TMH market-implied 1-standard-deviation expected move is approximately 8.74%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a bear put spread on TMH?: Bear put spreads on TMH reduce the cost of a bearish TMH etf position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.
How does current TMH implied volatility affect this bear put spread?: TMH ATM IV is at 30.50% with IV rank near 33.27%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.