LSTR Cash-Secured Put Strategy
LSTR (Landstar System, Inc.), in the Industrials sector, (Integrated Freight & Logistics industry), listed on NASDAQ.
Landstar System, Inc. delivers comprehensive logistics and transportation solutions, operating across North America (U.S., Canada, and Mexico) and globally. The company's operations are divided into two main divisions: Transportation Logistics and Insurance. The core Transportation Logistics segment offers an extensive range of freight movement options. These include full truckload and less-than-truckload (LTL) services, intermodal rail, air and ocean cargo, as well as expedited ground and air delivery for time-critical shipments. This segment also handles specialized transport like heavy-haul projects, cross-border freight between the U.S. and Canada, and the U.S. and Mexico, as well as intra-Mexico and intra-Canada movements, and customs brokerage. Landstar additionally provides transportation services to other logistics providers, such as third-party logistics firms and small parcel carriers.
LSTR (Landstar System, Inc.) trades in the Industrials sector, specifically Integrated Freight & Logistics, with a market capitalization of approximately $6.31B, a trailing P/E of 47.89, a beta of 0.88 versus the broader market, a 52-week range of 119.32-228.46, average daily share volume of 495K, a public-listing history dating back to 1993, approximately 1K full-time employees. These structural characteristics shape how LSTR stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.88 places LSTR roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 47.89 is on the rich side, which tends to correlate with higher earnings-window IV expansion as the market debates whether forward growth supports the multiple. LSTR 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 LSTR?
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.
LSTR snapshot
As of August 14, 2026, spot at $190.11, ATM IV 32.80%, IV rank 17.42%, expected move 9.40%. The cash-secured put on LSTR below is built from the August 14, 2026 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 LSTR specifically: LSTR IV at 32.80% is on the cheap side of its 1-year range, which means a premium-selling LSTR cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 9.40% (roughly $17.88 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 LSTR expiries trade a higher absolute premium for lower per-day decay. Position sizing on LSTR should anchor to the underlying notional of $190.11 per share and to the trader's directional view on LSTR stock.
LSTR cash-secured put setup
The LSTR cash-secured put below is built from the August 14, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With LSTR at $190.11 on that close, the first option leg uses a $180.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed LSTR 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 LSTR shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $180.00 | $4.25 |
LSTR cash-secured put risk and reward
- Net Premium / Debit
- +$425.00
- Max Profit (per contract)
- $425.00
- Max Loss (per contract)
- -$17,574.00
- Breakeven(s)
- $175.75
- Risk / Reward Ratio
- 0.024
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
LSTR cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on LSTR. 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% | -$17,574.00 |
| $42.04 | -77.9% | -$13,370.67 |
| $84.08 | -55.8% | -$9,167.35 |
| $126.11 | -33.7% | -$4,964.02 |
| $168.14 | -11.6% | -$760.69 |
| $210.18 | +10.6% | +$425.00 |
| $252.21 | +32.7% | +$425.00 |
| $294.24 | +54.8% | +$425.00 |
| $336.28 | +76.9% | +$425.00 |
| $378.31 | +99.0% | +$425.00 |
When traders use cash-secured put on LSTR
Cash-secured puts on LSTR earn premium while a trader waits to acquire LSTR stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning LSTR.
LSTR thesis for this cash-secured put
The market-implied 1-standard-deviation range for LSTR extends from approximately $172.23 on the downside to $207.99 on the upside. A LSTR cash-secured put lets a trader earn premium while waiting to acquire LSTR 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 LSTR IV rank near 17.42% 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 LSTR at 32.80%. As a Industrials name, LSTR options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to LSTR-specific events.
LSTR 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. LSTR positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move LSTR alongside the broader basket even when LSTR-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on LSTR carry tail risk when realized volatility exceeds the implied move; review historical LSTR earnings reactions and macro stress periods before sizing. Always rebuild the position from current LSTR chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on LSTR?
- A cash-secured put on LSTR is the cash-secured put strategy applied to LSTR (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 LSTR stock at $190.11 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed LSTR chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are LSTR 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 LSTR cash-secured put priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 32.80%), the computed maximum profit is $425.00 per contract and the computed maximum loss is -$17,574.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a LSTR cash-secured put?
- The breakeven for the LSTR cash-secured put priced on this page is roughly $175.75 at expiration, derived from the August 14, 2026 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 LSTR market-implied 1-standard-deviation expected move in the same options snapshot is approximately 9.40%; 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 LSTR?
- Cash-secured puts on LSTR earn premium while a trader waits to acquire LSTR stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning LSTR.
- How does current LSTR implied volatility affect this cash-secured put?
- LSTR ATM IV is at 32.80% with IV rank near 17.42%, 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.