HAE Covered Call Strategy
HAE (Haemonetics Corporation), in the Healthcare sector, (Medical - Instruments & Supplies industry), listed on NYSE.
Haemonetics Corporation, a healthcare company, provides medical products and solutions. It operates through three segments: Plasma, Blood Center, and Hospital. The company offers automated plasma collection devices, related disposables, and software, including NexSys PCS and PCS2 plasmapheresis equipment and related disposables and intravenous solutions, as well as integrated information technology platforms for plasma customers to manage their donors, operations, and supply chain; and NexLynk DMS donor management system. It also provides automated blood component and manual whole blood collection systems, such as MCS brand apheresis equipment to collect specific blood components from the donor; disposable whole blood collection and component storage sets; SafeTrace Tx blood bank information system; and BloodTrack blood management software, a suite of blood management and bedside transfusion solutions that combines software with hardware components, as well as an extension of the hospital's blood bank information system. In addition, the company offers hospital products comprising TEG, ClotPro, and HAS hemostasis analyzer systems that provide a comprehensive assessment of a patient's overall hemostasis; TEG Manager software, which connects various TEG analyzers throughout the hospital, providing clinicians remote access to active and historical test results that inform treatment decisions; and Cell Saver Elite +, an autologous blood recovery system for cardiovascular, orthopedic, trauma, transplant, vascular, obstetrical, and gynecological surgeries. It markets and sells its products through direct sales force, independent distributors, and sales representatives.
HAE (Haemonetics Corporation) trades in the Healthcare sector, specifically Medical - Instruments & Supplies, with a market capitalization of approximately $2.65B, a trailing P/E of 27.08, a beta of 0.53 versus the broader market, a 52-week range of 47.32-87.32, average daily share volume of 764K, a public-listing history dating back to 1991, approximately 4K full-time employees. These structural characteristics shape how HAE stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.53 indicates HAE 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 covered call on HAE?
A covered call pairs long stock with a short out-of-the-money call, collecting premium and capping upside above the short strike in exchange for income.
Current HAE snapshot
As of May 15, 2026, spot at $56.80, ATM IV 44.10%, IV rank 6.49%, expected move 12.64%. The covered call on HAE 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 covered call structure on HAE specifically: HAE IV at 44.10% is on the cheap side of its 1-year range, which means a premium-selling HAE covered call collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 12.64% (roughly $7.18 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 HAE expiries trade a higher absolute premium for lower per-day decay. Position sizing on HAE should anchor to the underlying notional of $56.80 per share and to the trader's directional view on HAE stock.
HAE covered call setup
The HAE covered call below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With HAE near $56.80, the first option leg uses a $60.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HAE 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 HAE shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $56.80 | long |
| Sell 1 | Call | $60.00 | $1.58 |
HAE covered call risk and reward
- Net Premium / Debit
- -$5,522.50
- Max Profit (per contract)
- $477.50
- Max Loss (per contract)
- -$5,521.50
- Breakeven(s)
- $55.23
- Risk / Reward Ratio
- 0.086
Max profit equals short-strike minus cost basis plus premium times 100; max loss is cost basis minus premium (at zero). Breakeven is cost basis minus premium.
HAE covered call payoff curve
Modeled P&L at expiration across a range of underlying prices for the covered call on HAE. 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% | -$5,521.50 |
| $12.57 | -77.9% | -$4,265.73 |
| $25.13 | -55.8% | -$3,009.96 |
| $37.68 | -33.7% | -$1,754.19 |
| $50.24 | -11.5% | -$498.42 |
| $62.80 | +10.6% | +$477.50 |
| $75.36 | +32.7% | +$477.50 |
| $87.91 | +54.8% | +$477.50 |
| $100.47 | +76.9% | +$477.50 |
| $113.03 | +99.0% | +$477.50 |
When traders use covered call on HAE
Covered calls on HAE are an income strategy run on existing HAE stock positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.
HAE thesis for this covered call
The market-implied 1-standard-deviation range for HAE extends from approximately $49.62 on the downside to $63.98 on the upside. A HAE covered call collects premium on an existing long HAE position, trading off upside above the short call strike for immediate income; the short strike selection should reflect the trader's view on whether HAE will breach that level within the expiration window. Current HAE IV rank near 6.49% 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 HAE at 44.10%. As a Healthcare name, HAE options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HAE-specific events.
HAE covered call 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. HAE positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HAE alongside the broader basket even when HAE-specific fundamentals are unchanged. Short-premium structures like a covered call on HAE carry tail risk when realized volatility exceeds the implied move; review historical HAE earnings reactions and macro stress periods before sizing. Always rebuild the position from current HAE chain quotes before placing a trade.
Frequently asked questions
- What is a covered call on HAE?
- A covered call on HAE is the covered call strategy applied to HAE (stock). The strategy is structurally neutral to slightly bullish: A covered call pairs long stock with a short out-of-the-money call, collecting premium and capping upside above the short strike in exchange for income. With HAE stock trading near $56.80, the strikes shown on this page are snapped to the nearest listed HAE chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are HAE covered call max profit and max loss calculated?
- Max profit equals short-strike minus cost basis plus premium times 100; max loss is cost basis minus premium (at zero). Breakeven is cost basis minus premium. For the HAE covered call priced from the end-of-day chain at a 30-day expiry (ATM IV 44.10%), the computed maximum profit is $477.50 per contract and the computed maximum loss is -$5,521.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a HAE covered call?
- The breakeven for the HAE covered call priced on this page is roughly $55.23 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 HAE market-implied 1-standard-deviation expected move is approximately 12.64%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a covered call on HAE?
- Covered calls on HAE are an income strategy run on existing HAE stock positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.
- How does current HAE implied volatility affect this covered call?
- HAE ATM IV is at 44.10% with IV rank near 6.49%, 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.