III Cash-Secured Put Strategy
III (Information Services Group, Inc.), in the Industrials sector, (Specialty Business Services industry), listed on NASDAQ.
Information Services Group, Inc. is a global AI-centered technology research and advisory firm. A trusted partner to more than 900 clients, ISG helps organizations achieve operational excellence and faster growth through digital transformation services, including sourcing advisory, cloud and data analytics, managed governance and risk services, network carrier services, and market intelligence.
III (Information Services Group, Inc.) trades in the Industrials sector, specifically Specialty Business Services, with a market capitalization of approximately $246.4M, a trailing P/E of 21.18, a beta of 1.09 versus the broader market, a 52-week range of 3.74-6.45, average daily share volume of 239K, a public-listing history dating back to 2007, approximately 1K full-time employees. These structural characteristics shape how III stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.09 places III roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. III 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 III?
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.
III snapshot
As of August 14, 2026, spot at $5.16, ATM IV 19.80%, IV rank 3.84%, expected move 5.68%. The cash-secured put on III below is built from the end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.
Why this cash-secured put structure on III specifically: III IV at 19.80% is on the cheap side of its 1-year range, which means a premium-selling III cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 5.68% (roughly $0.29 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated III expiries trade a higher absolute premium for lower per-day decay. Position sizing on III should anchor to the underlying notional of $5.16 per share and to the trader's directional view on III stock.
III cash-secured put setup
The III 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 III at $5.16 on that close, the first option leg uses a $4.90 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed III chain at a 35-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 III shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $4.90 | N/A |
III 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.
III cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on III. 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 III
Cash-secured puts on III earn premium while a trader waits to acquire III stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning III.
III thesis for this cash-secured put
The market-implied 1-standard-deviation range for III extends from approximately $4.87 on the downside to $5.45 on the upside. A III cash-secured put lets a trader earn premium while waiting to acquire III 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 III IV rank near 3.84% 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 III at 19.80%. As a Industrials name, III options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to III-specific events.
III 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. III positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move III alongside the broader basket even when III-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on III carry tail risk when realized volatility exceeds the implied move; review historical III earnings reactions and macro stress periods before sizing. Always rebuild the position from current III chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on III?
- A cash-secured put on III is the cash-secured put strategy applied to III (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 III stock at $5.16 on the most recent close, the strikes shown on this page are snapped to the nearest listed III chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are III 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 III cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 19.80%), 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 III cash-secured put?
- The breakeven for the III cash-secured put priced on this page is no defined breakeven on the modeled curve at expiration, derived from the end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The III market-implied 1-standard-deviation expected move in the same options snapshot is approximately 5.68%; 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 III?
- Cash-secured puts on III earn premium while a trader waits to acquire III stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning III.
- How does current III implied volatility affect this cash-secured put?
- III ATM IV is at 19.80% with IV rank near 3.84%, 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.