CVLT Cash-Secured Put Strategy
CVLT (Commvault Systems, Inc.), in the Technology sector, (Software - Application industry), listed on NASDAQ.
Commvault Systems, Inc. provides data protection and information management software applications and related services in the United States and internationally. The company offers Commvault Backup and Recovery, a backup and recovery solution; Commvault Disaster Recovery, a replication and disaster recovery solution; and Commvault Complete Data Protection, a data protection solution. It also provides Commvault HyperScale X, an easy-to-deploy scale-out solution; Commvault Distributed Storage Platform that offers software-defined storage built on a hyperscale architecture; Metallic Cloud Storage service, which is the easy button to adopt secure and scalable cloud storage; and Metallic Software-as-a-Service. In addition, the company provides technology and business consulting, education, and remote managed services. Further, it sells appliances that integrate the software with hardware for use in a range of business needs and use cases; and offers professional and customer support services that include data management-as-a-service under the Metallic brand. The company sells its products and services directly through its sales force, and indirectly through its network of distributors, value-added resellers, systems integrators, corporate resellers, and original equipment manufacturers to large enterprises, small and medium sized businesses, and government agencies.
CVLT (Commvault Systems, Inc.) trades in the Technology sector, specifically Software - Application, with a market capitalization of approximately $4.12B, a trailing P/E of 60.81, a beta of 0.77 versus the broader market, a 52-week range of 71.75-200.68, average daily share volume of 1.1M, a public-listing history dating back to 2006, approximately 3K full-time employees. These structural characteristics shape how CVLT stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.77 places CVLT roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 60.81 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.
What is a cash-secured put on CVLT?
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 CVLT snapshot
As of May 15, 2026, spot at $103.63, ATM IV 42.50%, IV rank 20.04%, expected move 12.18%. The cash-secured put on CVLT 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 CVLT specifically: CVLT IV at 42.50% is on the cheap side of its 1-year range, which means a premium-selling CVLT cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 12.18% (roughly $12.63 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 CVLT expiries trade a higher absolute premium for lower per-day decay. Position sizing on CVLT should anchor to the underlying notional of $103.63 per share and to the trader's directional view on CVLT stock.
CVLT cash-secured put setup
The CVLT 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 CVLT near $103.63, the first option leg uses a $97.50 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CVLT 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 CVLT shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $97.50 | $4.75 |
CVLT cash-secured put risk and reward
- Net Premium / Debit
- +$475.00
- Max Profit (per contract)
- $475.00
- Max Loss (per contract)
- -$9,274.00
- Breakeven(s)
- $92.75
- Risk / Reward Ratio
- 0.051
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
CVLT cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on CVLT. 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 | -100.0% | -$9,274.00 |
| $22.92 | -77.9% | -$6,982.79 |
| $45.83 | -55.8% | -$4,691.59 |
| $68.75 | -33.7% | -$2,400.38 |
| $91.66 | -11.6% | -$109.18 |
| $114.57 | +10.6% | +$475.00 |
| $137.48 | +32.7% | +$475.00 |
| $160.39 | +54.8% | +$475.00 |
| $183.31 | +76.9% | +$475.00 |
| $206.22 | +99.0% | +$475.00 |
When traders use cash-secured put on CVLT
Cash-secured puts on CVLT earn premium while a trader waits to acquire CVLT stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning CVLT.
CVLT thesis for this cash-secured put
The market-implied 1-standard-deviation range for CVLT extends from approximately $91.00 on the downside to $116.26 on the upside. A CVLT cash-secured put lets a trader earn premium while waiting to acquire CVLT 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 CVLT IV rank near 20.04% 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 CVLT at 42.50%. As a Technology name, CVLT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CVLT-specific events.
CVLT 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. CVLT positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move CVLT alongside the broader basket even when CVLT-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on CVLT carry tail risk when realized volatility exceeds the implied move; review historical CVLT earnings reactions and macro stress periods before sizing. Always rebuild the position from current CVLT chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on CVLT?
- A cash-secured put on CVLT is the cash-secured put strategy applied to CVLT (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 CVLT stock trading near $103.63, the strikes shown on this page are snapped to the nearest listed CVLT chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are CVLT 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 CVLT cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 42.50%), the computed maximum profit is $475.00 per contract and the computed maximum loss is -$9,274.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a CVLT cash-secured put?
- The breakeven for the CVLT cash-secured put priced on this page is roughly $92.75 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 CVLT market-implied 1-standard-deviation expected move is approximately 12.18%; 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 CVLT?
- Cash-secured puts on CVLT earn premium while a trader waits to acquire CVLT stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning CVLT.
- How does current CVLT implied volatility affect this cash-secured put?
- CVLT ATM IV is at 42.50% with IV rank near 20.04%, 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.