AEYE Long Put Strategy

AEYE (AudioEye, Inc.), in the Technology sector, (Software - Application industry), listed on NASDAQ.

AudioEye, Inc. provides patented, Internet content publication and distribution software and related services to Internet and other media to people regardless of their device, location, or disabilities in the United States. Its software and services enable conversion of digital content into accessible formats and allow for real time distribution to end users on any Internet connected device. The company’s offering provides ongoing testing, automated fixes, and 24/7 monitoring that enhances conformance with web content accessibility guidelines; identifies and fixes the accessibility errors and addresses a range of disabilities, including dyslexia, color blindness, epilepsy, and others; and offers additional solutions to provide for enhanced compliance and accessibility, including periodic auditing, custom fixes by experts, and legal support services, as well as PDF remediation services, mobile application, and audit reporting services to help customers with their digital accessibility needs. It serves small- and medium-sized businesses, corporate enterprises, non-profit organizations, and federal government agencies, as well as federal, state, and local governments and agencies through content management system partners, platform and agency partners, authorized resellers, and the marketplace. AudioEye, Inc. was incorporated in 2005 and is based in Tucson, Arizona.

AEYE (AudioEye, Inc.) trades in the Technology sector, specifically Software - Application, with a market capitalization of approximately $69.8M, a beta of 0.78 versus the broader market, a 52-week range of 5.31-16.39, average daily share volume of 158K, a public-listing history dating back to 2013, approximately 116 full-time employees. These structural characteristics shape how AEYE stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.78 places AEYE roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.

What is a long put on AEYE?

A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration.

Current AEYE snapshot

As of June 30, 2026, spot at $5.82, ATM IV 137.00%, IV rank 23.82%, expected move 39.28%. The long put on AEYE 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 17-day expiry.

Why this long put structure on AEYE specifically: AEYE IV at 137.00% is on the cheap side of its 1-year range, which favors premium-buying structures like a AEYE long put, with a market-implied 1-standard-deviation move of approximately 39.28% (roughly $2.29 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated AEYE expiries trade a higher absolute premium for lower per-day decay. Position sizing on AEYE should anchor to the underlying notional of $5.82 per share and to the trader's directional view on AEYE stock.

AEYE long put setup

The AEYE long put below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With AEYE near $5.82, the first option leg uses a $5.82 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed AEYE chain at a 17-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 AEYE shares for the stock leg in covered calls and collars).

ActionTypeStrike / BasisPremium (est)
Buy 1Put$5.82N/A

AEYE long put risk and reward

Net Premium / Debit
N/A
Max Profit (per contract)
Unbounded
Max Loss (per contract)
Unbounded
Breakeven(s)
None on modeled curve
Risk / Reward Ratio
N/A

Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium.

AEYE long put payoff curve

Modeled P&L at expiration across a range of underlying prices for the long put on AEYE. 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.

When traders use long put on AEYE

Long puts on AEYE hedge an existing long AEYE stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying AEYE exposure being hedged.

AEYE thesis for this long put

The market-implied 1-standard-deviation range for AEYE extends from approximately $3.53 on the downside to $8.11 on the upside. A AEYE long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long AEYE position with one put per 100 shares held. Current AEYE IV rank near 23.82% sits in the lower third of its 1-year distribution, where IV often re-expands toward the mean; this favors premium-buying structures and disadvantages premium-selling structures on AEYE at 137.00%. As a Technology name, AEYE options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to AEYE-specific events.

AEYE long put positions are structurally 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. AEYE positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move AEYE alongside the broader basket even when AEYE-specific fundamentals are unchanged. Long-premium structures like a long put on AEYE 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 AEYE chain quotes before placing a trade.

Frequently asked questions

What is a long put on AEYE?
A long put on AEYE is the long put strategy applied to AEYE (stock). The strategy is structurally bearish: A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration. With AEYE stock trading near $5.82, the strikes shown on this page are snapped to the nearest listed AEYE chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are AEYE long put max profit and max loss calculated?
Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium. For the AEYE long put priced from the end-of-day chain at a 30-day expiry (ATM IV 137.00%), the computed maximum profit is unbounded per contract and the computed maximum loss is unbounded per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a AEYE long put?
The breakeven for the AEYE long put priced on this page is no defined breakeven on the modeled curve 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 AEYE market-implied 1-standard-deviation expected move is approximately 39.28%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a long put on AEYE?
Long puts on AEYE hedge an existing long AEYE stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying AEYE exposure being hedged.
How does current AEYE implied volatility affect this long put?
AEYE ATM IV is at 137.00% with IV rank near 23.82%, which is on the low end of its 1-year range. Premium-buying structures (long call, long put, debit spreads) are relatively cheap in this regime; premium-selling structures collect less credit per unit risk.

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