BMRC Long Put Strategy
BMRC (Bank of Marin Bancorp), in the Financial Services sector, (Banks - Regional industry), listed on NASDAQ.
Bank of Marin Bancorp functions as the parent organization for Bank of Marin, a financial institution delivering diverse services. It caters principally to small and mid-sized enterprises, independent professionals, non-profit groups, and private clientele across California. Deposit offerings include both personal and business checking and savings accounts, individual retirement accounts (IRAs), health savings accounts (HSAs), and specialized demand deposit marketplace accounts. Clients can also opt for time certificates of deposit (CDs), Certificate of Deposit Account Registry Service (CDARS), and Insured Cash Sweep (ICS) services. Its lending portfolio spans commercial real estate, commercial and industrial financing, and consumer loans, along with construction funding and home equity lines of credit. Beyond traditional banking, the bank provides business-focused solutions such as merchant and payroll services, comprehensive cash management, credit cards, and robust fraud detection tools.
BMRC (Bank of Marin Bancorp) trades in the Financial Services sector, specifically Banks - Regional, with a market capitalization of approximately $461.9M, a trailing P/E of 7.02, a beta of 0.77 versus the broader market, a 52-week range of 22.5-30.92, average daily share volume of 134K, a public-listing history dating back to 1999, approximately 315 full-time employees. These structural characteristics shape how BMRC stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.77 places BMRC roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 7.02 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price. BMRC pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a long put on BMRC?
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.
BMRC snapshot
As of August 14, 2026, spot at $28.12, ATM IV 41.10%, IV rank 11.50%, expected move 11.78%. The long put on BMRC below is built from the end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.
Why this long put structure on BMRC specifically: BMRC IV at 41.10% is on the cheap side of its 1-year range, which favors premium-buying structures like a BMRC long put, with a market-implied 1-standard-deviation move of approximately 11.78% (roughly $3.31 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated BMRC expiries trade a higher absolute premium for lower per-day decay. Position sizing on BMRC should anchor to the underlying notional of $28.12 per share and to the trader's directional view on BMRC stock.
BMRC long put setup
The BMRC 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 BMRC at $28.12 on that close, the first option leg uses a $28.12 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed BMRC chain at a 35-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 BMRC shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $28.12 | N/A |
BMRC 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.
BMRC long put payoff curve
Modeled P&L at expiration across a range of underlying prices for the long put on BMRC. 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 BMRC
Long puts on BMRC hedge an existing long BMRC stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying BMRC exposure being hedged.
BMRC thesis for this long put
The market-implied 1-standard-deviation range for BMRC extends from approximately $24.81 on the downside to $31.43 on the upside. A BMRC long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long BMRC position with one put per 100 shares held. Current BMRC IV rank near 11.50% 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 BMRC at 41.10%. As a Financial Services name, BMRC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to BMRC-specific events.
BMRC 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. BMRC positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move BMRC alongside the broader basket even when BMRC-specific fundamentals are unchanged. Long-premium structures like a long put on BMRC 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 BMRC chain quotes before placing a trade.
Frequently asked questions
- What is a long put on BMRC?
- A long put on BMRC is the long put strategy applied to BMRC (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 BMRC stock at $28.12 on the most recent close, the strikes shown on this page are snapped to the nearest listed BMRC chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are BMRC 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 BMRC long put priced from the end-of-day chain at a 30-day expiry (ATM IV 41.10%), 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 BMRC long put?
- The breakeven for the BMRC long put priced on this page is no defined breakeven on the modeled curve at expiration, derived from the end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The BMRC market-implied 1-standard-deviation expected move in the same options snapshot is approximately 11.78%; 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 BMRC?
- Long puts on BMRC hedge an existing long BMRC stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying BMRC exposure being hedged.
- How does current BMRC implied volatility affect this long put?
- BMRC ATM IV is at 41.10% with IV rank near 11.50%, 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.