ARVN Cash-Secured Put Strategy
ARVN (Arvinas, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Arvinas, Inc., a clinical-stage biopharmaceutical company, engages in the discovery, development, and commercialization of therapies to degrade disease-causing proteins. Its lead product candidates include Bavdegalutamide, a proteolysis targeting chimera (PROTAC) protein degrader that is in phase I clinical trial targeting the androgen receptor (AR) protein for the treatment of men with metastatic castration-resistant prostate cancer (mCRPC); ARV-471, a PROTAC protein degrader targeting the estrogen receptor protein for the treatment of patients with metastatic ER positive/HER2 negative breast cancer; and ARV-766 an investigational orally bioavailable PROTAC protein degrader for the treatment of men with mCRPC. The company has collaborations with Pfizer Inc., Genentech, Inc., F. Hoffman-La Roche Ltd., and Bayer AG. Arvinas, Inc. was founded in 2013 and is based in New Haven, Connecticut.
ARVN (Arvinas, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $636.8M, a beta of 1.80 versus the broader market, a 52-week range of 5.9-14.51, average daily share volume of 901K, a public-listing history dating back to 2018, approximately 430 full-time employees. These structural characteristics shape how ARVN stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.80 indicates ARVN has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.
What is a cash-secured put on ARVN?
A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike.
Current ARVN snapshot
As of May 15, 2026, spot at $9.07, ATM IV 66.50%, IV rank 25.93%, expected move 19.06%. The cash-secured put on ARVN 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 63-day expiry.
Why this cash-secured put structure on ARVN specifically: ARVN IV at 66.50% is on the cheap side of its 1-year range, which means a premium-selling ARVN cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 19.06% (roughly $1.73 on the underlying). The 63-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated ARVN expiries trade a higher absolute premium for lower per-day decay. Position sizing on ARVN should anchor to the underlying notional of $9.07 per share and to the trader's directional view on ARVN stock.
ARVN cash-secured put setup
The ARVN cash-secured 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 ARVN near $9.07, the first option leg uses a $9.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ARVN chain at a 63-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 ARVN shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $9.00 | $0.80 |
ARVN cash-secured put risk and reward
- Net Premium / Debit
- +$80.00
- Max Profit (per contract)
- $80.00
- Max Loss (per contract)
- -$819.00
- Breakeven(s)
- $8.20
- Risk / Reward Ratio
- 0.098
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
ARVN cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on ARVN. 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 | -99.9% | -$819.00 |
| $2.01 | -77.8% | -$618.57 |
| $4.02 | -55.7% | -$418.14 |
| $6.02 | -33.6% | -$217.70 |
| $8.03 | -11.5% | -$17.27 |
| $10.03 | +10.6% | +$80.00 |
| $12.04 | +32.7% | +$80.00 |
| $14.04 | +54.8% | +$80.00 |
| $16.04 | +76.9% | +$80.00 |
| $18.05 | +99.0% | +$80.00 |
When traders use cash-secured put on ARVN
Cash-secured puts on ARVN earn premium while a trader waits to acquire ARVN stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning ARVN.
ARVN thesis for this cash-secured put
The market-implied 1-standard-deviation range for ARVN extends from approximately $7.34 on the downside to $10.80 on the upside. A ARVN cash-secured put lets a trader earn premium while waiting to acquire ARVN at the strike price; the strategy is most attractive when the trader is comfortable holding the underlying at that level and IV is rich enough to compensate for the assignment risk. Current ARVN IV rank near 25.93% 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 ARVN at 66.50%. As a Healthcare name, ARVN options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ARVN-specific events.
ARVN cash-secured put positions are structurally neutral to slightly bullish; 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. ARVN positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ARVN alongside the broader basket even when ARVN-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on ARVN carry tail risk when realized volatility exceeds the implied move; review historical ARVN earnings reactions and macro stress periods before sizing. Always rebuild the position from current ARVN chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on ARVN?
- A cash-secured put on ARVN is the cash-secured put strategy applied to ARVN (stock). The strategy is structurally neutral to slightly bullish: A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike. With ARVN stock trading near $9.07, the strikes shown on this page are snapped to the nearest listed ARVN chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are ARVN cash-secured put max profit and max loss calculated?
- Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium. For the ARVN cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 66.50%), the computed maximum profit is $80.00 per contract and the computed maximum loss is -$819.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a ARVN cash-secured put?
- The breakeven for the ARVN cash-secured put priced on this page is roughly $8.20 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 ARVN market-implied 1-standard-deviation expected move is approximately 19.06%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a cash-secured put on ARVN?
- Cash-secured puts on ARVN earn premium while a trader waits to acquire ARVN stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning ARVN.
- How does current ARVN implied volatility affect this cash-secured put?
- ARVN ATM IV is at 66.50% with IV rank near 25.93%, 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.