CTRM Bull Call Spread Strategy
CTRM (Castor Maritime Inc.), in the Industrials sector, (Marine Shipping industry), listed on NASDAQ.
Castor Maritime Inc. operates as a global shipping company, offering maritime transportation services across three primary divisions: Dry Bulk, Aframax/LR2 Tanker, and Handysize Tanker. The firm is dedicated to the seaborne carriage of various goods, including dry bulk commodities such as iron ore, coal, and soybeans, as well as both crude oil and refined petroleum products. As of December 31, 2021, Castor Maritime maintained a fleet of 29 vessels, which prominently featured two Handysize tanker vessels, seven Aframax/LR2 tanker vessels, and fourteen dry bulk carriers. The company was founded in 2017 and has its base in Limassol, Cyprus.
CTRM (Castor Maritime Inc.) trades in the Industrials sector, specifically Marine Shipping, with a market capitalization of approximately $20.2M, a trailing P/E of 0.24, a beta of 1.20 versus the broader market, a 52-week range of 1.66-2.654, average daily share volume of 49K, a public-listing history dating back to 2019, approximately 123 full-time employees. These structural characteristics shape how CTRM stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.20 places CTRM roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 0.24 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price.
What is a bull call spread on CTRM?
A bull call spread buys an at-the-money call and sells an out-of-the-money call at a higher strike for defined risk and defined reward bounded by the strike width.
CTRM snapshot
As of August 14, 2026, spot at $2.33, ATM IV 124.90%, IV rank 23.53%, expected move 35.81%. The bull call spread on CTRM 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 bull call spread structure on CTRM specifically: CTRM IV at 124.90% is on the cheap side of its 1-year range, which favors premium-buying structures like a CTRM bull call spread, with a market-implied 1-standard-deviation move of approximately 35.81% (roughly $0.83 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 CTRM expiries trade a higher absolute premium for lower per-day decay. Position sizing on CTRM should anchor to the underlying notional of $2.33 per share and to the trader's directional view on CTRM stock.
CTRM bull call spread setup
The CTRM bull call 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 CTRM at $2.33 on that close, the first option leg uses a $2.33 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CTRM 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 CTRM shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $2.33 | N/A |
| Sell 1 | Call | $2.45 | N/A |
CTRM bull call spread 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 strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-call strike plus net debit.
CTRM bull call spread payoff curve
Modeled P&L at expiration across a range of underlying prices for the bull call spread on CTRM. 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 bull call spread on CTRM
Bull call spreads on CTRM reduce the cost of a bullish CTRM stock position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
CTRM thesis for this bull call spread
The market-implied 1-standard-deviation range for CTRM extends from approximately $1.50 on the downside to $3.16 on the upside. A CTRM bull call spread caps both the risk and the reward of a bullish position; relative to an outright long call on CTRM, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current CTRM IV rank near 23.53% 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 CTRM at 124.90%. As a Industrials name, CTRM options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CTRM-specific events.
CTRM bull call spread positions are structurally moderately 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. CTRM positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move CTRM alongside the broader basket even when CTRM-specific fundamentals are unchanged. Long-premium structures like a bull call spread on CTRM 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 CTRM chain quotes before placing a trade.
Frequently asked questions
- What is a bull call spread on CTRM?
- A bull call spread on CTRM is the bull call spread strategy applied to CTRM (stock). The strategy is structurally moderately bullish: A bull call spread buys an at-the-money call and sells an out-of-the-money call at a higher strike for defined risk and defined reward bounded by the strike width. With CTRM stock at $2.33 on the most recent close, the strikes shown on this page are snapped to the nearest listed CTRM chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are CTRM bull call 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-call strike plus net debit. For the CTRM bull call spread priced from the end-of-day chain at a 30-day expiry (ATM IV 124.90%), 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 CTRM bull call spread?
- The breakeven for the CTRM bull call spread 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 CTRM market-implied 1-standard-deviation expected move in the same options snapshot is approximately 35.81%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a bull call spread on CTRM?
- Bull call spreads on CTRM reduce the cost of a bullish CTRM stock position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
- How does current CTRM implied volatility affect this bull call spread?
- CTRM ATM IV is at 124.90% with IV rank near 23.53%, 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.