INVZ Covered Call Strategy
INVZ (Innoviz Technologies Ltd.), in the Consumer Cyclical sector, (Auto - Parts industry), listed on NASDAQ.
Innoviz Technologies Ltd., an Israeli company founded in 2016 and based in Rosh HaAyin, specializes in the development and production of cutting-edge solid-state LiDAR sensors, alongside innovative perception software. Their core mission is to accelerate the widespread commercialization of autonomous vehicles. The company's product portfolio includes InnovizOne, an automotive-grade, solid-state LiDAR sensor engineered for high-volume manufacturing. This sensor is specifically tailored for automakers, robotaxi fleets, shuttle services, and logistics companies, providing an essential component for achieving Level 3 through 5 autonomous capabilities while ensuring the safety of passengers and pedestrians. Innoviz also offers InnovizTwo, another automotive-grade LiDAR sensor designed to support all levels of autonomous driving, with the added flexibility of integrating perception software directly within the sensor. For versatile environmental sensing, Innoviz360 provides a 360-degree LiDAR solution applicable in both automotive and various non-automotive contexts.
INVZ (Innoviz Technologies Ltd.) trades in the Consumer Cyclical sector, specifically Auto - Parts, with a market capitalization of approximately $106.9M, a beta of 1.54 versus the broader market, a 52-week range of 0.35-2.54, average daily share volume of 3.4M, a public-listing history dating back to 2020, approximately 372 full-time employees. These structural characteristics shape how INVZ stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.54 indicates INVZ 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 covered call on INVZ?
A covered call pairs long stock with a short out-of-the-money call, collecting premium and capping upside above the short strike in exchange for income.
INVZ snapshot
As of August 14, 2026, spot at $0.37, ATM IV 22.80%, IV rank 0.30%, expected move 6.54%. The covered call on INVZ 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 covered call structure on INVZ specifically: INVZ IV at 22.80% is on the cheap side of its 1-year range, which means a premium-selling INVZ covered call collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 6.54% (roughly $0.02 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 INVZ expiries trade a higher absolute premium for lower per-day decay. Position sizing on INVZ should anchor to the underlying notional of $0.37 per share and to the trader's directional view on INVZ stock.
INVZ covered call setup
The INVZ covered call below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With INVZ at $0.37 on that close, the first option leg uses a $0.39 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed INVZ 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 INVZ shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $0.37 | long |
| Sell 1 | Call | $0.39 | N/A |
INVZ covered call 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 short-strike minus cost basis plus premium times 100; max loss is cost basis minus premium (at zero). Breakeven is cost basis minus premium.
INVZ covered call payoff curve
Modeled P&L at expiration across a range of underlying prices for the covered call on INVZ. 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 covered call on INVZ
Covered calls on INVZ are an income strategy run on existing INVZ stock positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.
INVZ thesis for this covered call
The market-implied 1-standard-deviation range for INVZ extends from approximately $0.35 on the downside to $0.39 on the upside. A INVZ covered call collects premium on an existing long INVZ position, trading off upside above the short call strike for immediate income; the short strike selection should reflect the trader's view on whether INVZ will breach that level within the expiration window. Current INVZ IV rank near 0.30% 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 INVZ at 22.80%. As a Consumer Cyclical name, INVZ options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to INVZ-specific events.
INVZ covered call 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. INVZ positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move INVZ alongside the broader basket even when INVZ-specific fundamentals are unchanged. Short-premium structures like a covered call on INVZ carry tail risk when realized volatility exceeds the implied move; review historical INVZ earnings reactions and macro stress periods before sizing. Always rebuild the position from current INVZ chain quotes before placing a trade.
Frequently asked questions
- What is a covered call on INVZ?
- A covered call on INVZ is the covered call strategy applied to INVZ (stock). The strategy is structurally neutral to slightly bullish: A covered call pairs long stock with a short out-of-the-money call, collecting premium and capping upside above the short strike in exchange for income. With INVZ stock at $0.37 on the most recent close, the strikes shown on this page are snapped to the nearest listed INVZ chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are INVZ covered call max profit and max loss calculated?
- Max profit equals short-strike minus cost basis plus premium times 100; max loss is cost basis minus premium (at zero). Breakeven is cost basis minus premium. For the INVZ covered call priced from the end-of-day chain at a 30-day expiry (ATM IV 22.80%), 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 INVZ covered call?
- The breakeven for the INVZ covered call 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 INVZ market-implied 1-standard-deviation expected move in the same options snapshot is approximately 6.54%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a covered call on INVZ?
- Covered calls on INVZ are an income strategy run on existing INVZ stock positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.
- How does current INVZ implied volatility affect this covered call?
- INVZ ATM IV is at 22.80% with IV rank near 0.30%, 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.