How are EWTX 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 EWTX cash-secured put priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 64.90%), the computed maximum profit is $280.00 per contract and the computed maximum loss is -$3,919.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a EWTX cash-secured put?

The breakeven for the EWTX cash-secured put priced on this page is roughly $39.20 at expiration, derived from the August 14, 2026 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 EWTX market-implied 1-standard-deviation expected move in the same options snapshot is approximately 18.61%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current EWTX implied volatility affect this cash-secured put?

EWTX ATM IV is at 64.90% with IV rank near 8.62%, 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.

EWTX Cash-Secured Put Strategy

EWTX (Edgewise Therapeutics, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.

Edgewise Therapeutics, Inc. is a biopharmaceutical firm dedicated to developing small-molecule treatments for a range of musculoskeletal disorders. Its leading investigational drug, EDG-5506, is an orally administered compound specifically engineered to tackle the fundamental genetic causes of dystrophinopathies, including Duchenne and Becker muscular dystrophy. This candidate has successfully concluded its Phase 1 clinical trial. Beyond EDG-5506, Edgewise maintains a pipeline of precision medicine candidates designed to modulate key muscle proteins, thereby addressing various genetically defined muscle conditions. Established in 2017, the company is headquartered in Boulder, Colorado.

EWTX (Edgewise Therapeutics, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $4.69B, a beta of 0.28 versus the broader market, a 52-week range of 13.5-48.4, average daily share volume of 1.3M, a public-listing history dating back to 2021, approximately 154 full-time employees. These structural characteristics shape how EWTX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.28 indicates EWTX has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure.

What is a cash-secured put on EWTX?

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.

EWTX snapshot

As of August 14, 2026, spot at $43.83, ATM IV 64.90%, IV rank 8.62%, expected move 18.61%. The cash-secured put on EWTX below is built from the August 14, 2026 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 cash-secured put structure on EWTX specifically: EWTX IV at 64.90% is on the cheap side of its 1-year range, which means a premium-selling EWTX cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 18.61% (roughly $8.16 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 EWTX expiries trade a higher absolute premium for lower per-day decay. Position sizing on EWTX should anchor to the underlying notional of $43.83 per share and to the trader's directional view on EWTX stock.

EWTX cash-secured put setup

The EWTX cash-secured put below is built from the August 14, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With EWTX at $43.83 on that close, the first option leg uses a $42.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed EWTX 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 EWTX shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Sell 1	Put	$42.00	$2.80

EWTX cash-secured put risk and reward

Net Premium / Debit: +$280.00
Max Profit (per contract): $280.00
Max Loss (per contract): -$3,919.00
Breakeven(s): $39.20
Risk / Reward Ratio: 0.071

Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.

EWTX cash-secured put payoff curve

Modeled P&L at expiration across a range of underlying prices for the cash-secured put on EWTX. 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.

P&L at expiration across the modeled underlying-price range. Green shading marks profitable regions, red shading marks loss regions. Dotted purple verticals mark breakevens; the solid dark vertical marks current spot.

Underlying Price	% From Spot	P&L at Expiration
$0.01	-100.0%	-$3,919.00
$9.70	-77.9%	-$2,950.01
$19.39	-55.8%	-$1,981.01
$29.08	-33.7%	-$1,012.02
$38.77	-11.5%	-$43.02
$48.46	+10.6%	+$280.00
$58.15	+32.7%	+$280.00
$67.84	+54.8%	+$280.00
$77.53	+76.9%	+$280.00
$87.22	+99.0%	+$280.00

When traders use cash-secured put on EWTX

Cash-secured puts on EWTX earn premium while a trader waits to acquire EWTX stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning EWTX.

EWTX thesis for this cash-secured put

The market-implied 1-standard-deviation range for EWTX extends from approximately $35.67 on the downside to $51.99 on the upside. A EWTX cash-secured put lets a trader earn premium while waiting to acquire EWTX 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 EWTX IV rank near 8.62% 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 EWTX at 64.90%. As a Healthcare name, EWTX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to EWTX-specific events.

EWTX 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. EWTX positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move EWTX alongside the broader basket even when EWTX-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on EWTX carry tail risk when realized volatility exceeds the implied move; review historical EWTX earnings reactions and macro stress periods before sizing. Always rebuild the position from current EWTX chain quotes before placing a trade.

Frequently asked questions

What is a cash-secured put on EWTX?: A cash-secured put on EWTX is the cash-secured put strategy applied to EWTX (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 EWTX stock at $43.83 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed EWTX chain strike and the premiums come straight from that session's bid/ask midpoint.
How are EWTX 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 EWTX cash-secured put priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 64.90%), the computed maximum profit is $280.00 per contract and the computed maximum loss is -$3,919.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a EWTX cash-secured put?: The breakeven for the EWTX cash-secured put priced on this page is roughly $39.20 at expiration, derived from the August 14, 2026 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 EWTX market-implied 1-standard-deviation expected move in the same options snapshot is approximately 18.61%; 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 EWTX?: Cash-secured puts on EWTX earn premium while a trader waits to acquire EWTX stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning EWTX.
How does current EWTX implied volatility affect this cash-secured put?: EWTX ATM IV is at 64.90% with IV rank near 8.62%, 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.