EXC Cash-Secured Put Strategy
EXC (Exelon Corporation), in the Utilities sector, (Regulated Electric industry), listed on NASDAQ.
Exelon Corporation, a utility services holding company, engages in the energy generation, delivery, and marketing businesses in the United States and Canada. It owns nuclear, fossil, wind, hydroelectric, biomass, and solar generating facilities. The company also sells electricity to wholesale and retail customers; and sells natural gas, renewable energy, and other energy-related products and services. Additionally, it is involved in the purchase and regulated retail sale of electricity and natural gas; and transmission and distribution of electricity, and distribution of natural gas to retail customers. Further, the company offers support services, including legal, human resources, information technology, financial, supply management, accounting, engineering, customer operations, distribution and transmission planning, asset management, system operations, and power procurement services. It serves distribution utilities, municipalities, cooperatives, and financial institutions, as well as commercial, industrial, governmental, and residential customers.
EXC (Exelon Corporation) trades in the Utilities sector, specifically Regulated Electric, with a market capitalization of approximately $45.30B, a trailing P/E of 16.31, a beta of 0.42 versus the broader market, a 52-week range of 42.11-50.65, average daily share volume of 9.4M, a public-listing history dating back to 1973, approximately 20K full-time employees. These structural characteristics shape how EXC stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.42 indicates EXC has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. EXC pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a cash-secured put on EXC?
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 EXC snapshot
As of May 15, 2026, spot at $43.47, ATM IV 21.30%, IV rank 45.09%, expected move 6.11%. The cash-secured put on EXC 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 EXC specifically: EXC IV at 21.30% is mid-range versus its 1-year history, so the credit collected on a EXC cash-secured put sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 6.11% (roughly $2.65 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 EXC expiries trade a higher absolute premium for lower per-day decay. Position sizing on EXC should anchor to the underlying notional of $43.47 per share and to the trader's directional view on EXC stock.
EXC cash-secured put setup
The EXC 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 EXC near $43.47, the first option leg uses a $41.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed EXC 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 EXC shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $41.00 | $0.35 |
EXC cash-secured put risk and reward
- Net Premium / Debit
- +$35.00
- Max Profit (per contract)
- $35.00
- Max Loss (per contract)
- -$4,064.00
- Breakeven(s)
- $40.65
- Risk / Reward Ratio
- 0.009
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
EXC cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on EXC. 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% | -$4,064.00 |
| $9.62 | -77.9% | -$3,102.96 |
| $19.23 | -55.8% | -$2,141.93 |
| $28.84 | -33.7% | -$1,180.89 |
| $38.45 | -11.5% | -$219.86 |
| $48.06 | +10.6% | +$35.00 |
| $57.67 | +32.7% | +$35.00 |
| $67.28 | +54.8% | +$35.00 |
| $76.89 | +76.9% | +$35.00 |
| $86.50 | +99.0% | +$35.00 |
When traders use cash-secured put on EXC
Cash-secured puts on EXC earn premium while a trader waits to acquire EXC stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning EXC.
EXC thesis for this cash-secured put
The market-implied 1-standard-deviation range for EXC extends from approximately $40.82 on the downside to $46.12 on the upside. A EXC cash-secured put lets a trader earn premium while waiting to acquire EXC 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 EXC IV rank near 45.09% is mid-range against its 1-year distribution, so the IV signal is neutral; the cash-secured put thesis on EXC should anchor more to the directional view and the expected-move geometry. As a Utilities name, EXC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to EXC-specific events.
EXC 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. EXC positions also carry Utilities sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move EXC alongside the broader basket even when EXC-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on EXC carry tail risk when realized volatility exceeds the implied move; review historical EXC earnings reactions and macro stress periods before sizing. Always rebuild the position from current EXC chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on EXC?
- A cash-secured put on EXC is the cash-secured put strategy applied to EXC (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 EXC stock trading near $43.47, the strikes shown on this page are snapped to the nearest listed EXC chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are EXC 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 EXC cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 21.30%), the computed maximum profit is $35.00 per contract and the computed maximum loss is -$4,064.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a EXC cash-secured put?
- The breakeven for the EXC cash-secured put priced on this page is roughly $40.65 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 EXC market-implied 1-standard-deviation expected move is approximately 6.11%; 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 EXC?
- Cash-secured puts on EXC earn premium while a trader waits to acquire EXC stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning EXC.
- How does current EXC implied volatility affect this cash-secured put?
- EXC ATM IV is at 21.30% with IV rank near 45.09%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.