HUT Cash-Secured Put Strategy
HUT (Hut 8 Corp.), in the Financial Services sector, (Financial - Capital Markets industry), listed on NASDAQ.
Hut 8 Corp Hut 8 Corp. is a vertically integrated operator of large-scale energy infrastructure and Bitcoin miners. The Company acquires, designs, builds, manages, and operates data centers that power compute-intensive workloads such as Bitcoin mining, high performance computing, and artificial intelligence.
HUT (Hut 8 Corp.) trades in the Financial Services sector, specifically Financial - Capital Markets, with a market capitalization of approximately $12.20B, a beta of 5.72 versus the broader market, a 52-week range of 14.744-112.26, average daily share volume of 4.8M, a public-listing history dating back to 2018, approximately 222 full-time employees. These structural characteristics shape how HUT stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 5.72 indicates HUT 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 HUT?
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 HUT snapshot
As of May 15, 2026, spot at $102.77, ATM IV 89.87%, IV rank 31.51%, expected move 25.77%. The cash-secured put on HUT 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 28-day expiry.
Why this cash-secured put structure on HUT specifically: HUT IV at 89.87% is mid-range versus its 1-year history, so the credit collected on a HUT cash-secured put sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 25.77% (roughly $26.48 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated HUT expiries trade a higher absolute premium for lower per-day decay. Position sizing on HUT should anchor to the underlying notional of $102.77 per share and to the trader's directional view on HUT stock.
HUT cash-secured put setup
The HUT 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 HUT near $102.77, the first option leg uses a $98.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HUT chain at a 28-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 HUT shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $98.00 | $7.83 |
HUT cash-secured put risk and reward
- Net Premium / Debit
- +$782.50
- Max Profit (per contract)
- $782.50
- Max Loss (per contract)
- -$9,016.50
- Breakeven(s)
- $90.18
- Risk / Reward Ratio
- 0.087
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
HUT cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on HUT. 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% | -$9,016.50 |
| $22.73 | -77.9% | -$6,744.31 |
| $45.45 | -55.8% | -$4,472.12 |
| $68.18 | -33.7% | -$2,199.93 |
| $90.90 | -11.6% | +$72.26 |
| $113.62 | +10.6% | +$782.50 |
| $136.34 | +32.7% | +$782.50 |
| $159.06 | +54.8% | +$782.50 |
| $181.79 | +76.9% | +$782.50 |
| $204.51 | +99.0% | +$782.50 |
When traders use cash-secured put on HUT
Cash-secured puts on HUT earn premium while a trader waits to acquire HUT stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning HUT.
HUT thesis for this cash-secured put
The market-implied 1-standard-deviation range for HUT extends from approximately $76.29 on the downside to $129.25 on the upside. A HUT cash-secured put lets a trader earn premium while waiting to acquire HUT 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 HUT IV rank near 31.51% is mid-range against its 1-year distribution, so the IV signal is neutral; the cash-secured put thesis on HUT should anchor more to the directional view and the expected-move geometry. As a Financial Services name, HUT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HUT-specific events.
HUT 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. HUT positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HUT alongside the broader basket even when HUT-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on HUT carry tail risk when realized volatility exceeds the implied move; review historical HUT earnings reactions and macro stress periods before sizing. Always rebuild the position from current HUT chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on HUT?
- A cash-secured put on HUT is the cash-secured put strategy applied to HUT (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 HUT stock trading near $102.77, the strikes shown on this page are snapped to the nearest listed HUT chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are HUT 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 HUT cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 89.87%), the computed maximum profit is $782.50 per contract and the computed maximum loss is -$9,016.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a HUT cash-secured put?
- The breakeven for the HUT cash-secured put priced on this page is roughly $90.18 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 HUT market-implied 1-standard-deviation expected move is approximately 25.77%; 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 HUT?
- Cash-secured puts on HUT earn premium while a trader waits to acquire HUT stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning HUT.
- How does current HUT implied volatility affect this cash-secured put?
- HUT ATM IV is at 89.87% with IV rank near 31.51%, 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.