IAC Cash-Secured Put Strategy
IAC (IAC InterActive Corp.), in the Technology sector, (Internet Content & Information industry), listed on NASDAQ.
IAC/InterActiveCorp operates as a media and internet company worldwide. The company publishes original and engaging digital content in the form of articles, illustrations, and videos and images across entertainment, food, home, beauty, travel, health, family, luxury, and fashion areas; and magazines related to women and lifestyle. It also operates a digital marketplace that connects home service professionals with consumers for repairing, remodeling, cleaning, landscaping, maintenance, and enhancement services under the Angi Ads, Angi Leads, and Angi Services brands. In addition, the company operates websites that offer general search services and information, including Ask.com, a search site with a variety of fresh and contemporary content; Reference.com that offers content across select vertical categories; Consumersearch.com, which offers content designed to simplify the product research process; and Shopping.net, a vertical shopping search site that contains a mix of search services and/or content targeted to various user or segment demographics, as well as offers direct-to-consumer downloadable desktop applications. Further, it offers Care.com, an online destination for families to connect with caregivers for their children, aging parents, pets, and homes; develops and provides subscription mobile applications across the communication, language, weather, business, health, and lifestyle verticals; a technology driven staffing platform for flexible W-2 work under the Bluecrew name; a platform to connect healthcare professionals with job opportunities under the Vivian Health name; The Daily Beast, a website dedicated to news, commentary, culture, and entertainment that publishes original reporting and opinion; and production and producer services for feature films for sale and distribution through theatrical releases and video-on-demand services. The company was formerly known as IAC HOLDINGS, INC.
IAC (IAC InterActive Corp.) trades in the Technology sector, specifically Internet Content & Information, with a market capitalization of approximately $3.03B, a trailing P/E of 27.12, a beta of 1.07 versus the broader market, a 52-week range of 29.56-45.82, average daily share volume of 1.2M, a public-listing history dating back to 1993, approximately 10K full-time employees. These structural characteristics shape how IAC stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.07 places IAC roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a cash-secured put on IAC?
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 IAC snapshot
As of May 15, 2026, spot at $39.98, ATM IV 31.50%, IV rank 34.78%, expected move 9.03%. The cash-secured put on IAC 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 IAC specifically: IAC IV at 31.50% is mid-range versus its 1-year history, so the credit collected on a IAC cash-secured put sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 9.03% (roughly $3.61 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 IAC expiries trade a higher absolute premium for lower per-day decay. Position sizing on IAC should anchor to the underlying notional of $39.98 per share and to the trader's directional view on IAC stock.
IAC cash-secured put setup
The IAC 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 IAC near $39.98, the first option leg uses a $37.98 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed IAC 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 IAC shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $37.98 | N/A |
IAC 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.
IAC cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on IAC. 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 IAC
Cash-secured puts on IAC earn premium while a trader waits to acquire IAC stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning IAC.
IAC thesis for this cash-secured put
The market-implied 1-standard-deviation range for IAC extends from approximately $36.37 on the downside to $43.59 on the upside. A IAC cash-secured put lets a trader earn premium while waiting to acquire IAC 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 IAC IV rank near 34.78% is mid-range against its 1-year distribution, so the IV signal is neutral; the cash-secured put thesis on IAC should anchor more to the directional view and the expected-move geometry. As a Technology name, IAC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to IAC-specific events.
IAC 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. IAC positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move IAC alongside the broader basket even when IAC-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on IAC carry tail risk when realized volatility exceeds the implied move; review historical IAC earnings reactions and macro stress periods before sizing. Always rebuild the position from current IAC chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on IAC?
- A cash-secured put on IAC is the cash-secured put strategy applied to IAC (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 IAC stock trading near $39.98, the strikes shown on this page are snapped to the nearest listed IAC chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are IAC 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 IAC cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 31.50%), 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 IAC cash-secured put?
- The breakeven for the IAC 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 IAC market-implied 1-standard-deviation expected move is approximately 9.03%; 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 IAC?
- Cash-secured puts on IAC earn premium while a trader waits to acquire IAC stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning IAC.
- How does current IAC implied volatility affect this cash-secured put?
- IAC ATM IV is at 31.50% with IV rank near 34.78%, 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.