CDRE Cash-Secured Put Strategy
CDRE (Cadre Holdings, Inc.), in the Industrials sector, (Aerospace & Defense industry), listed on NYSE.
Cadre Holdings, Inc. manufactures and distributes safety and survivability equipment that provides protection to users in hazardous or life-threatening situations in the United States and internationally. The company operates in two segments, Products and Distribution. It primarily provides body armor product, such as concealable, corrections, and tactical armor under the Safariland and Protech Tactical brands; survival suits, remotely operated vehicles, specialty tools, blast sensors, accessories, and vehicle blast attenuation seats for bomb safety technicians; bomb suits; duty gear, including belts and accessories; and other protective and law enforcement equipment comprising communications gear, forensic and investigation products, firearms cleaning solutions, and crowd control products. The company also offers third-party products, such as uniforms, optics, boots, firearms, and ammunition. It serves first responders, such as state and local law enforcement, fire and rescue, explosive ordnance disposal technicians, emergency medical technicians, fishing, and wildlife enforcement and departments of corrections, as well as federal agencies including the U.S. Department of State, U.S.
CDRE (Cadre Holdings, Inc.) trades in the Industrials sector, specifically Aerospace & Defense, with a market capitalization of approximately $1.34B, a trailing P/E of 36.11, a beta of 1.32 versus the broader market, a 52-week range of 25.73-48.76, average daily share volume of 479K, a public-listing history dating back to 2021, approximately 2K full-time employees. These structural characteristics shape how CDRE stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.32 indicates CDRE has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. The trailing P/E of 36.11 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. CDRE pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a cash-secured put on CDRE?
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 CDRE snapshot
As of May 15, 2026, spot at $30.07, ATM IV 79.30%, IV rank 23.83%, expected move 22.73%. The cash-secured put on CDRE 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 cash-secured put structure on CDRE specifically: CDRE IV at 79.30% is on the cheap side of its 1-year range, which means a premium-selling CDRE cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 22.73% (roughly $6.84 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 CDRE expiries trade a higher absolute premium for lower per-day decay. Position sizing on CDRE should anchor to the underlying notional of $30.07 per share and to the trader's directional view on CDRE stock.
CDRE cash-secured put setup
The CDRE 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 CDRE near $30.07, the first option leg uses a $28.57 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CDRE 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 CDRE shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $28.57 | N/A |
CDRE cash-secured 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 premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
CDRE cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on CDRE. 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 cash-secured put on CDRE
Cash-secured puts on CDRE earn premium while a trader waits to acquire CDRE stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning CDRE.
CDRE thesis for this cash-secured put
The market-implied 1-standard-deviation range for CDRE extends from approximately $23.23 on the downside to $36.91 on the upside. A CDRE cash-secured put lets a trader earn premium while waiting to acquire CDRE 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 CDRE IV rank near 23.83% 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 CDRE at 79.30%. As a Industrials name, CDRE options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CDRE-specific events.
CDRE 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. CDRE positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move CDRE alongside the broader basket even when CDRE-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on CDRE carry tail risk when realized volatility exceeds the implied move; review historical CDRE earnings reactions and macro stress periods before sizing. Always rebuild the position from current CDRE chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on CDRE?
- A cash-secured put on CDRE is the cash-secured put strategy applied to CDRE (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 CDRE stock trading near $30.07, the strikes shown on this page are snapped to the nearest listed CDRE chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are CDRE 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 CDRE cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 79.30%), 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 CDRE cash-secured put?
- The breakeven for the CDRE cash-secured 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 CDRE market-implied 1-standard-deviation expected move is approximately 22.73%; 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 CDRE?
- Cash-secured puts on CDRE earn premium while a trader waits to acquire CDRE stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning CDRE.
- How does current CDRE implied volatility affect this cash-secured put?
- CDRE ATM IV is at 79.30% with IV rank near 23.83%, 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.