MYE Covered Call Strategy
MYE (Myers Industries, Inc.), in the Consumer Cyclical sector, (Packaging & Containers industry), listed on NYSE.
Myers Industries, Inc. engages in distribution of tire service supplies in Ohio. It operates through The Material Handling and Distribution segments. The Material Handling segment offers pallets, small parts bins, bulk shipping containers, OEM parts, storage, organization, and custom plastic products; injection molded, rotationally molded or blow molded products, consumer fuel containers and tanks for water, fuel, and waste handling. It serves industrial manufacturing, food processing, retail/wholesale products distribution, agriculture, automotive, recreational, and marine vehicles, healthcare, appliance, bakery, electronics, textiles, consumer markets, and other markets under Akro-Mils, Jamco, Buckhorn, Ameri-Kart, Scepter, Elkhart Plastics, and Trilogy Plastics brands directly, as well as through distributors. The Distribution segment engages in the distribution of tools, equipment, and supplies for tire, wheel, and undervehicle service on passenger, heavy truck, and off-road vehicles; and manufacture and sale of tire repair materials and custom rubber products, as well as reflective highway marking tapes. This segment serves retail and truck tire dealers, commercial auto and truck fleets, auto dealers, general service and repair centers, tire re-treaders, truck stop operations, and government agencies.
MYE (Myers Industries, Inc.) trades in the Consumer Cyclical sector, specifically Packaging & Containers, with a market capitalization of approximately $854.8M, a trailing P/E of 20.30, a beta of 0.97 versus the broader market, a 52-week range of 11.86-24.25, average daily share volume of 242K, a public-listing history dating back to 1980, approximately 3K full-time employees. These structural characteristics shape how MYE stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.97 places MYE roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. MYE pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a covered call on MYE?
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.
Current MYE snapshot
As of May 15, 2026, spot at $22.30, ATM IV 98.70%, IV rank 43.07%, expected move 28.30%. The covered call on MYE 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 covered call structure on MYE specifically: MYE IV at 98.70% is mid-range versus its 1-year history, so the credit collected on a MYE covered call sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 28.30% (roughly $6.31 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 MYE expiries trade a higher absolute premium for lower per-day decay. Position sizing on MYE should anchor to the underlying notional of $22.30 per share and to the trader's directional view on MYE stock.
MYE covered call setup
The MYE 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 MYE near $22.30, the first option leg uses a $23.42 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed MYE 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 MYE shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $22.30 | long |
| Sell 1 | Call | $23.42 | N/A |
MYE 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.
MYE covered call payoff curve
Modeled P&L at expiration across a range of underlying prices for the covered call on MYE. 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 MYE
Covered calls on MYE are an income strategy run on existing MYE stock positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.
MYE thesis for this covered call
The market-implied 1-standard-deviation range for MYE extends from approximately $15.99 on the downside to $28.61 on the upside. A MYE covered call collects premium on an existing long MYE position, trading off upside above the short call strike for immediate income; the short strike selection should reflect the trader's view on whether MYE will breach that level within the expiration window. Current MYE IV rank near 43.07% is mid-range against its 1-year distribution, so the IV signal is neutral; the covered call thesis on MYE should anchor more to the directional view and the expected-move geometry. As a Consumer Cyclical name, MYE options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to MYE-specific events.
MYE 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. MYE positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move MYE alongside the broader basket even when MYE-specific fundamentals are unchanged. Short-premium structures like a covered call on MYE carry tail risk when realized volatility exceeds the implied move; review historical MYE earnings reactions and macro stress periods before sizing. Always rebuild the position from current MYE chain quotes before placing a trade.
Frequently asked questions
- What is a covered call on MYE?
- A covered call on MYE is the covered call strategy applied to MYE (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 MYE stock trading near $22.30, the strikes shown on this page are snapped to the nearest listed MYE chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are MYE 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 MYE covered call priced from the end-of-day chain at a 30-day expiry (ATM IV 98.70%), 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 MYE covered call?
- The breakeven for the MYE covered call 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 MYE market-implied 1-standard-deviation expected move is approximately 28.30%; 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 MYE?
- Covered calls on MYE are an income strategy run on existing MYE 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 MYE implied volatility affect this covered call?
- MYE ATM IV is at 98.70% with IV rank near 43.07%, 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.