DPRO Cash-Secured Put Strategy
DPRO (Draganfly Inc.), in the Industrials sector, (Aerospace & Defense industry), listed on NASDAQ.
Draganfly Inc. manufactures and sells commercial unmanned aerial vehicles worldwide. Its products include quadcopters, fixed wing aircrafts, ground based robots, and handheld controllers, as well as software used for tracking, live streaming, flight training, and data collection. The company also offers custom engineering and training, simulation consulting, and flight training services, as well as wireless video systems. It serves public safety, agriculture, industrial inspections, security, and mapping and surveying markets. The company was founded in 1998 and is headquartered in Saskatoon, Canada.
DPRO (Draganfly Inc.) trades in the Industrials sector, specifically Aerospace & Defense, with a market capitalization of approximately $119.3M, a beta of 2.51 versus the broader market, a 52-week range of 1.63-14.4, average daily share volume of 1.9M, a public-listing history dating back to 2021, approximately 51 full-time employees. These structural characteristics shape how DPRO stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 2.51 indicates DPRO 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 DPRO?
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 DPRO snapshot
As of May 15, 2026, spot at $5.34, ATM IV 100.00%, IV rank 22.42%, expected move 28.67%. The cash-secured put on DPRO 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 DPRO specifically: DPRO IV at 100.00% is on the cheap side of its 1-year range, which means a premium-selling DPRO cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 28.67% (roughly $1.53 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 DPRO expiries trade a higher absolute premium for lower per-day decay. Position sizing on DPRO should anchor to the underlying notional of $5.34 per share and to the trader's directional view on DPRO stock.
DPRO cash-secured put setup
The DPRO 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 DPRO near $5.34, the first option leg uses a $5.07 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed DPRO 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 DPRO shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $5.07 | N/A |
DPRO 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.
DPRO cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on DPRO. 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 DPRO
Cash-secured puts on DPRO earn premium while a trader waits to acquire DPRO stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning DPRO.
DPRO thesis for this cash-secured put
The market-implied 1-standard-deviation range for DPRO extends from approximately $3.81 on the downside to $6.87 on the upside. A DPRO cash-secured put lets a trader earn premium while waiting to acquire DPRO 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 DPRO IV rank near 22.42% 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 DPRO at 100.00%. As a Industrials name, DPRO options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to DPRO-specific events.
DPRO 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. DPRO positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move DPRO alongside the broader basket even when DPRO-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on DPRO carry tail risk when realized volatility exceeds the implied move; review historical DPRO earnings reactions and macro stress periods before sizing. Always rebuild the position from current DPRO chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on DPRO?
- A cash-secured put on DPRO is the cash-secured put strategy applied to DPRO (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 DPRO stock trading near $5.34, the strikes shown on this page are snapped to the nearest listed DPRO chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are DPRO 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 DPRO cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 100.00%), 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 DPRO cash-secured put?
- The breakeven for the DPRO 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 DPRO market-implied 1-standard-deviation expected move is approximately 28.67%; 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 DPRO?
- Cash-secured puts on DPRO earn premium while a trader waits to acquire DPRO stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning DPRO.
- How does current DPRO implied volatility affect this cash-secured put?
- DPRO ATM IV is at 100.00% with IV rank near 22.42%, 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.