HY Cash-Secured Put Strategy
HY (Hyster-Yale Materials Handling, Inc.), in the Industrials sector, (Agricultural - Machinery industry), listed on NYSE.
Hyster-Yale Materials Handling, Inc., through its subsidiaries, designs, engineers, manufactures, sells, and services a line of lift trucks, attachments, and aftermarket parts worldwide. It manufactures components, such as frames, masts, and transmissions; and assembles lift trucks. The company markets its products primarily under the Hyster and Yale brand names to independent Hyster and Yale retail dealerships. It also sells aftermarket parts under the Hyster and Yale, as well as UNISOURCE and PREMIER brands to Hyster and Yale dealers for the service of competitor lift trucks. In addition, the company produces and distributes attachments, forks, and lift tables under the Bolzoni, Auramo, and Meyer brand names; and designs and produces products in the port equipment and rough terrain forklift markets. Further, it designs, manufactures, and sells hydrogen fuel-cell stacks and engines.
HY (Hyster-Yale Materials Handling, Inc.) trades in the Industrials sector, specifically Agricultural - Machinery, with a market capitalization of approximately $644.0M, a beta of 1.66 versus the broader market, a 52-week range of 26.41-44.55, average daily share volume of 92K, a public-listing history dating back to 2012, approximately 9K full-time employees. These structural characteristics shape how HY stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.66 indicates HY has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. HY 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 HY?
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 HY snapshot
As of May 15, 2026, spot at $35.75, ATM IV 36.90%, IV rank 7.48%, expected move 10.58%. The cash-secured put on HY 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 HY specifically: HY IV at 36.90% is on the cheap side of its 1-year range, which means a premium-selling HY cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 10.58% (roughly $3.78 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 HY expiries trade a higher absolute premium for lower per-day decay. Position sizing on HY should anchor to the underlying notional of $35.75 per share and to the trader's directional view on HY stock.
HY cash-secured put setup
The HY 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 HY near $35.75, the first option leg uses a $33.96 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HY 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 HY shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $33.96 | N/A |
HY cash-secured put 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 premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
HY cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on HY. 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 cash-secured put on HY
Cash-secured puts on HY earn premium while a trader waits to acquire HY stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning HY.
HY thesis for this cash-secured put
The market-implied 1-standard-deviation range for HY extends from approximately $31.97 on the downside to $39.53 on the upside. A HY cash-secured put lets a trader earn premium while waiting to acquire HY 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 HY IV rank near 7.48% 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 HY at 36.90%. As a Industrials name, HY options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HY-specific events.
HY 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. HY positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HY alongside the broader basket even when HY-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on HY carry tail risk when realized volatility exceeds the implied move; review historical HY earnings reactions and macro stress periods before sizing. Always rebuild the position from current HY chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on HY?
- A cash-secured put on HY is the cash-secured put strategy applied to HY (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 HY stock trading near $35.75, the strikes shown on this page are snapped to the nearest listed HY chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are HY 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 HY cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 36.90%), 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 HY cash-secured put?
- The breakeven for the HY cash-secured put 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 HY market-implied 1-standard-deviation expected move is approximately 10.58%; 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 HY?
- Cash-secured puts on HY earn premium while a trader waits to acquire HY stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning HY.
- How does current HY implied volatility affect this cash-secured put?
- HY ATM IV is at 36.90% with IV rank near 7.48%, 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.