DUOT Bear Put Spread Strategy

DUOT (Duos Technologies Group, Inc.), in the Technology sector, (Software - Application industry), listed on NASDAQ.

Duos Technologies Group, Inc. designs, develops, deploys, and operates intelligent technology solutions in North America. Its technology platforms used in its solutions include centraco, an enterprise information management system; and truevue360, an integrated platform to develop and deploy artificial intelligence algorithms, including machine learning, computer vision, object detection, and deep neural network-based processing for real-time applications, as well as Praesidium to manage various image capture devices and some sensors for input into the centraco software. The company's proprietary applications include Railcar Inspection Portal for the automated inspection of freight and transit trains while in motion; Vehicle Undercarriage Examiner to inspect the undercarriage of railcars; Thermal Undercarriage Examiner; Enterprise Command and Control Suite for information consolidation, connectivity, and communications; and Automated Logistics Information Systems, a proprietary intelligent system to automate security gate operations. It also provides IT asset management services for data centers operators; maintenance and technical support services; consulting and auditing; software licensing with optional hardware sales; and training services. The company is headquartered in Jacksonville, Florida.

DUOT (Duos Technologies Group, Inc.) trades in the Technology sector, specifically Software - Application, with a market capitalization of approximately $170.1M, a beta of 1.07 versus the broader market, a 52-week range of 5.775-12.17, average daily share volume of 558K, a public-listing history dating back to 2017, approximately 79 full-time employees. These structural characteristics shape how DUOT stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.07 places DUOT roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.

What is a bear put spread on DUOT?

A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width.

Current DUOT snapshot

As of May 15, 2026, spot at $8.96, ATM IV 108.90%, expected move 31.22%. The bear put spread on DUOT 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 bear put spread structure on DUOT specifically: IV rank is unavailable in the current snapshot, so regime-based timing for DUOT is inferred from ATM IV at 108.90% alone, with a market-implied 1-standard-deviation move of approximately 31.22% (roughly $2.80 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 DUOT expiries trade a higher absolute premium for lower per-day decay. Position sizing on DUOT should anchor to the underlying notional of $8.96 per share and to the trader's directional view on DUOT stock.

DUOT bear put spread setup

The DUOT bear put 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 DUOT near $8.96, the first option leg uses a $8.96 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed DUOT 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 DUOT shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Put	$8.96	N/A
Sell 1	Put	$8.51	N/A

DUOT bear put 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-put strike minus net debit.

DUOT bear put spread payoff curve

Modeled P&L at expiration across a range of underlying prices for the bear put spread on DUOT. 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 bear put spread on DUOT

Bear put spreads on DUOT reduce the cost of a bearish DUOT stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.

DUOT thesis for this bear put spread

The market-implied 1-standard-deviation range for DUOT extends from approximately $6.16 on the downside to $11.76 on the upside. A DUOT bear put spread caps both the risk and the reward of a bearish position; relative to an outright long put on DUOT, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. As a Technology name, DUOT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to DUOT-specific events.

DUOT bear put spread positions are structurally moderately 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. DUOT positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move DUOT alongside the broader basket even when DUOT-specific fundamentals are unchanged. Long-premium structures like a bear put spread on DUOT 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 DUOT chain quotes before placing a trade.

Frequently asked questions

What is a bear put spread on DUOT?: A bear put spread on DUOT is the bear put spread strategy applied to DUOT (stock). The strategy is structurally moderately bearish: A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width. With DUOT stock trading near $8.96, the strikes shown on this page are snapped to the nearest listed DUOT chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are DUOT bear put 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-put strike minus net debit. For the DUOT bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 108.90%), 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 DUOT bear put spread?: The breakeven for the DUOT bear put spread 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 DUOT market-implied 1-standard-deviation expected move is approximately 31.22%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a bear put spread on DUOT?: Bear put spreads on DUOT reduce the cost of a bearish DUOT stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.
How does current DUOT implied volatility affect this bear put spread?: Current DUOT ATM IV is 108.90%; IV rank context is unavailable in the current snapshot.