INVA Cash-Secured Put Strategy

INVA (Innoviva, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.

Innoviva, Inc. engages in the development and commercialization of pharmaceuticals in the United States and internationally. Its products include RELVAR/BREO ELLIPTA, a once-daily combination medicine consisting of a LABA, vilanterol (VI), an inhaled corticosteroid (ICS), and fluticasone furoate; ANORO ELLIPTA, a once-daily medicine combining a long-acting muscarinic antagonist (LAMA), umeclidinium bromide (UMEC), with a LABA, and VI; and TRELEGY ELLIPTA, a once-daily combination medicine consisting of an ICS, LAMA, and LABA. Innoviva, Inc. has a strategic partnership with Sarissa Capital Management LP. The company has long-acting beta2 agonist (LABA) collaboration agreement with Glaxo Group Limited to develop and commercialize once-daily products for the treatment of chronic obstructive pulmonary disease and asthma. The company was formerly known as Theravance, Inc. and changed its name to Innoviva, Inc. in January 2016. Innoviva, Inc. was incorporated in 1996 and is headquartered in Burlingame, California.

INVA (Innoviva, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $1.71B, a trailing P/E of 3.40, a beta of 0.38 versus the broader market, a 52-week range of 16.52-25.15, average daily share volume of 711K, a public-listing history dating back to 2004, approximately 127 full-time employees. These structural characteristics shape how INVA stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.38 indicates INVA has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. The trailing P/E of 3.40 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price.

What is a cash-secured put on INVA?

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 INVA snapshot

As of May 15, 2026, spot at $21.97, ATM IV 68.80%, IV rank 39.08%, expected move 19.72%. The cash-secured put on INVA 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 INVA specifically: INVA IV at 68.80% is mid-range versus its 1-year history, so the credit collected on a INVA cash-secured put sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 19.72% (roughly $4.33 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 INVA expiries trade a higher absolute premium for lower per-day decay. Position sizing on INVA should anchor to the underlying notional of $21.97 per share and to the trader's directional view on INVA stock.

INVA cash-secured put setup

The INVA 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 INVA near $21.97, the first option leg uses a $20.87 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed INVA 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 INVA shares for the stock leg in covered calls and collars).

ActionTypeStrike / BasisPremium (est)
Sell 1Put$20.87N/A

INVA 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.

INVA cash-secured put payoff curve

Modeled P&L at expiration across a range of underlying prices for the cash-secured put on INVA. 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 INVA

Cash-secured puts on INVA earn premium while a trader waits to acquire INVA stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning INVA.

INVA thesis for this cash-secured put

The market-implied 1-standard-deviation range for INVA extends from approximately $17.64 on the downside to $26.30 on the upside. A INVA cash-secured put lets a trader earn premium while waiting to acquire INVA 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 INVA IV rank near 39.08% is mid-range against its 1-year distribution, so the IV signal is neutral; the cash-secured put thesis on INVA should anchor more to the directional view and the expected-move geometry. As a Healthcare name, INVA options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to INVA-specific events.

INVA 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. INVA positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move INVA alongside the broader basket even when INVA-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on INVA carry tail risk when realized volatility exceeds the implied move; review historical INVA earnings reactions and macro stress periods before sizing. Always rebuild the position from current INVA chain quotes before placing a trade.

Frequently asked questions

What is a cash-secured put on INVA?
A cash-secured put on INVA is the cash-secured put strategy applied to INVA (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 INVA stock trading near $21.97, the strikes shown on this page are snapped to the nearest listed INVA chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are INVA 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 INVA cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 68.80%), 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 INVA cash-secured put?
The breakeven for the INVA 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 INVA market-implied 1-standard-deviation expected move is approximately 19.72%; 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 INVA?
Cash-secured puts on INVA earn premium while a trader waits to acquire INVA stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning INVA.
How does current INVA implied volatility affect this cash-secured put?
INVA ATM IV is at 68.80% with IV rank near 39.08%, 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.

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