MYRG Bear Put Spread Strategy
MYRG (MYR Group Inc.), in the Industrials sector, (Engineering & Construction industry), listed on NASDAQ.
Operating across the United States and Canada, MYR Group Inc. is a leading provider of electrical construction services, delivered through its two core divisions: Transmission and Distribution, and Commercial and Industrial. Its Transmission and Distribution division specializes in comprehensive services for electrical transmission and distribution grids, as well as substation infrastructure. These offerings span design, engineering, procurement, construction, enhancements, upkeep, and repairs, primarily targeting clients within the electric utility sector. Key activities include building and maintaining high-voltage transmission lines, substations, and both underground and overhead lower-voltage distribution systems. The segment also handles renewable power installations, some gas construction projects, and critical emergency restoration following natural disasters like hurricanes or ice storms. As a prime contractor, MYR serves a diverse client base, including investor-owned utilities, cooperatives, private developers, government-funded entities, independent power producers, transmission companies, industrial facility owners, and other contractors.
MYRG (MYR Group Inc.) trades in the Industrials sector, specifically Engineering & Construction, with a market capitalization of approximately $7.44B, a trailing P/E of 52.34, a beta of 1.32 versus the broader market, a 52-week range of 171.51-497.09, average daily share volume of 294K, a public-listing history dating back to 2008, approximately 9K full-time employees. These structural characteristics shape how MYRG stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.32 indicates MYRG has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. The trailing P/E of 52.34 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.
What is a bear put spread on MYRG?
A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width.
Current MYRG snapshot
As of June 30, 2026, spot at $498.31, ATM IV 55.00%, IV rank 60.88%, expected move 15.77%. The bear put spread on MYRG 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 17-day expiry.
Why this bear put spread structure on MYRG specifically: MYRG IV at 55.00% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 15.77% (roughly $78.57 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated MYRG expiries trade a higher absolute premium for lower per-day decay. Position sizing on MYRG should anchor to the underlying notional of $498.31 per share and to the trader's directional view on MYRG stock.
MYRG bear put spread setup
The MYRG bear put spread below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With MYRG near $498.31, the first option leg uses a $500.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed MYRG chain at a 17-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 MYRG shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $500.00 | $25.20 |
| Sell 1 | Put | $470.00 | $12.40 |
MYRG bear put spread risk and reward
- Net Premium / Debit
- -$1,280.00
- Max Profit (per contract)
- $1,720.00
- Max Loss (per contract)
- -$1,280.00
- Breakeven(s)
- $487.20
- Risk / Reward Ratio
- 1.344
Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit.
MYRG bear put spread payoff curve
Modeled P&L at expiration across a range of underlying prices for the bear put spread on MYRG. 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% | +$1,720.00 |
| $110.19 | -77.9% | +$1,720.00 |
| $220.37 | -55.8% | +$1,720.00 |
| $330.54 | -33.7% | +$1,720.00 |
| $440.72 | -11.6% | +$1,720.00 |
| $550.90 | +10.6% | -$1,280.00 |
| $661.08 | +32.7% | -$1,280.00 |
| $771.26 | +54.8% | -$1,280.00 |
| $881.43 | +76.9% | -$1,280.00 |
| $991.61 | +99.0% | -$1,280.00 |
When traders use bear put spread on MYRG
Bear put spreads on MYRG reduce the cost of a bearish MYRG stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.
MYRG thesis for this bear put spread
The market-implied 1-standard-deviation range for MYRG extends from approximately $419.74 on the downside to $576.88 on the upside. A MYRG bear put spread caps both the risk and the reward of a bearish position; relative to an outright long put on MYRG, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current MYRG IV rank near 60.88% is mid-range against its 1-year distribution, so the IV signal is neutral; the bear put spread thesis on MYRG should anchor more to the directional view and the expected-move geometry. As a Industrials name, MYRG options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to MYRG-specific events.
MYRG bear put spread positions are structurally moderately bearish; 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. MYRG positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move MYRG alongside the broader basket even when MYRG-specific fundamentals are unchanged. Long-premium structures like a bear put spread on MYRG are particularly exposed to IV-crush risk through scheduled events (earnings, FDA decisions, central-bank meetings) where IV typically contracts post-event regardless of the directional outcome. Always rebuild the position from current MYRG chain quotes before placing a trade.
Frequently asked questions
- What is a bear put spread on MYRG?
- A bear put spread on MYRG is the bear put spread strategy applied to MYRG (stock). The strategy is structurally moderately bearish: A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width. With MYRG stock trading near $498.31, the strikes shown on this page are snapped to the nearest listed MYRG chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are MYRG bear put spread max profit and max loss calculated?
- Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit. For the MYRG bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 55.00%), the computed maximum profit is $1,720.00 per contract and the computed maximum loss is -$1,280.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a MYRG bear put spread?
- The breakeven for the MYRG bear put spread priced on this page is roughly $487.20 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 MYRG market-implied 1-standard-deviation expected move is approximately 15.77%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a bear put spread on MYRG?
- Bear put spreads on MYRG reduce the cost of a bearish MYRG stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.
- How does current MYRG implied volatility affect this bear put spread?
- MYRG ATM IV is at 55.00% with IV rank near 60.88%, 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.