HYMC Bear Put Spread Strategy
HYMC (Hycroft Mining Holding Corporation), in the Basic Materials sector, (Gold industry), listed on NASDAQ.
Hycroft Mining Holding Corporation, together with its subsidiaries, operates as a gold and silver development company in the United States. The company holds interests in the Hycroft mine that covers an area of approximately 70,671 acres located in the state of Nevada. As of December 31, 2021, its Hycroft mine had measured and indicated mineral resources of 9.6 million ounces of gold, and 446.0 million ounces of silver. Hycroft Mining Holding Corporation is headquartered in Winnemucca, Nevada.
HYMC (Hycroft Mining Holding Corporation) trades in the Basic Materials sector, specifically Gold, with a market capitalization of approximately $3.99B, a beta of 2.73 versus the broader market, a 52-week range of 2.71-58.73, average daily share volume of 3.3M, a public-listing history dating back to 2018, approximately 56 full-time employees. These structural characteristics shape how HYMC stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 2.73 indicates HYMC 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 bear put spread on HYMC?
A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width.
Current HYMC snapshot
As of May 15, 2026, spot at $36.06, ATM IV 100.10%, IV rank 35.22%, expected move 28.70%. The bear put spread on HYMC 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 bear put spread structure on HYMC specifically: HYMC IV at 100.10% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 28.70% (roughly $10.35 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 HYMC expiries trade a higher absolute premium for lower per-day decay. Position sizing on HYMC should anchor to the underlying notional of $36.06 per share and to the trader's directional view on HYMC stock.
HYMC bear put spread setup
The HYMC bear put spread below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With HYMC near $36.06, the first option leg uses a $36.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HYMC 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 HYMC shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $36.00 | $4.20 |
| Sell 1 | Put | $34.00 | $3.00 |
HYMC bear put spread risk and reward
- Net Premium / Debit
- -$120.00
- Max Profit (per contract)
- $80.00
- Max Loss (per contract)
- -$120.00
- Breakeven(s)
- $34.80
- Risk / Reward Ratio
- 0.667
Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit.
HYMC bear put spread payoff curve
Modeled P&L at expiration across a range of underlying prices for the bear put spread on HYMC. 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% | +$80.00 |
| $7.98 | -77.9% | +$80.00 |
| $15.95 | -55.8% | +$80.00 |
| $23.93 | -33.6% | +$80.00 |
| $31.90 | -11.5% | +$80.00 |
| $39.87 | +10.6% | -$120.00 |
| $47.84 | +32.7% | -$120.00 |
| $55.81 | +54.8% | -$120.00 |
| $63.79 | +76.9% | -$120.00 |
| $71.76 | +99.0% | -$120.00 |
When traders use bear put spread on HYMC
Bear put spreads on HYMC reduce the cost of a bearish HYMC stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.
HYMC thesis for this bear put spread
The market-implied 1-standard-deviation range for HYMC extends from approximately $25.71 on the downside to $46.41 on the upside. A HYMC bear put spread caps both the risk and the reward of a bearish position; relative to an outright long put on HYMC, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current HYMC IV rank near 35.22% is mid-range against its 1-year distribution, so the IV signal is neutral; the bear put spread thesis on HYMC should anchor more to the directional view and the expected-move geometry. As a Basic Materials name, HYMC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HYMC-specific events.
HYMC bear put spread positions are structurally moderately bearish; 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. HYMC positions also carry Basic Materials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HYMC alongside the broader basket even when HYMC-specific fundamentals are unchanged. Long-premium structures like a bear put spread on HYMC are particularly exposed to IV-crush risk through scheduled events (earnings, FDA decisions, central-bank meetings) where IV typically contracts post-event regardless of the directional outcome. Always rebuild the position from current HYMC chain quotes before placing a trade.
Frequently asked questions
- What is a bear put spread on HYMC?
- A bear put spread on HYMC is the bear put spread strategy applied to HYMC (stock). The strategy is structurally moderately bearish: A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width. With HYMC stock trading near $36.06, the strikes shown on this page are snapped to the nearest listed HYMC chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are HYMC bear put spread max profit and max loss calculated?
- Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit. For the HYMC bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 100.10%), the computed maximum profit is $80.00 per contract and the computed maximum loss is -$120.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a HYMC bear put spread?
- The breakeven for the HYMC bear put spread priced on this page is roughly $34.80 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 HYMC market-implied 1-standard-deviation expected move is approximately 28.70%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a bear put spread on HYMC?
- Bear put spreads on HYMC reduce the cost of a bearish HYMC stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.
- How does current HYMC implied volatility affect this bear put spread?
- HYMC ATM IV is at 100.10% with IV rank near 35.22%, 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.