NDLS Bull Call Spread Strategy
NDLS (Noodles & Company), in the Consumer Cyclical sector, (Restaurants industry), listed on NASDAQ.
Noodles & Company is a fast-casual dining enterprise, engaged in both the conceptualization and operation of its eateries. Patrons can choose from an extensive menu of meals prepared fresh to order, featuring a variety of noodle and pasta dishes, comforting soups, crisp salads, and enticing appetizers. By December 28, 2021, the company's operational reach spanned 29 U.S. states, with a total of 448 restaurants in service. This total was composed of 372 company-owned locations and 76 independently operated franchise outlets. The organization was established in 1995 and its corporate headquarters are situated in Broomfield, Colorado.
NDLS (Noodles & Company) trades in the Consumer Cyclical sector, specifically Restaurants, with a market capitalization of approximately $98.0M, a beta of 1.37 versus the broader market, a 52-week range of 3.57-19, average daily share volume of 57K, a public-listing history dating back to 2013, approximately 7K full-time employees. These structural characteristics shape how NDLS stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.37 indicates NDLS 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 bull call spread on NDLS?
A bull call spread buys an at-the-money call and sells an out-of-the-money call at a higher strike for defined risk and defined reward bounded by the strike width.
NDLS snapshot
As of August 14, 2026, spot at $16.33, ATM IV 43.80%, IV rank 7.10%, expected move 12.56%. The bull call spread on NDLS 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 7-day expiry.
Why this bull call spread structure on NDLS specifically: NDLS IV at 43.80% is on the cheap side of its 1-year range, which favors premium-buying structures like a NDLS bull call spread, with a market-implied 1-standard-deviation move of approximately 12.56% (roughly $2.05 on the underlying). The 7-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated NDLS expiries trade a higher absolute premium for lower per-day decay. Position sizing on NDLS should anchor to the underlying notional of $16.33 per share and to the trader's directional view on NDLS stock.
NDLS bull call spread setup
The NDLS bull call 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 NDLS at $16.33 on that close, the first option leg uses a $16.33 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed NDLS chain at a 7-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 NDLS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $16.33 | N/A |
| Sell 1 | Call | $17.15 | N/A |
NDLS bull call spread 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 strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-call strike plus net debit.
NDLS bull call spread payoff curve
Modeled P&L at expiration across a range of underlying prices for the bull call spread on NDLS. 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 bull call spread on NDLS
Bull call spreads on NDLS reduce the cost of a bullish NDLS stock position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
NDLS thesis for this bull call spread
The market-implied 1-standard-deviation range for NDLS extends from approximately $14.28 on the downside to $18.38 on the upside. A NDLS bull call spread caps both the risk and the reward of a bullish position; relative to an outright long call on NDLS, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current NDLS IV rank near 7.10% 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 NDLS at 43.80%. As a Consumer Cyclical name, NDLS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to NDLS-specific events.
NDLS bull call spread positions are structurally moderately 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. NDLS positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move NDLS alongside the broader basket even when NDLS-specific fundamentals are unchanged. Long-premium structures like a bull call spread on NDLS 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 NDLS chain quotes before placing a trade.
Frequently asked questions
- What is a bull call spread on NDLS?
- A bull call spread on NDLS is the bull call spread strategy applied to NDLS (stock). The strategy is structurally moderately bullish: A bull call spread buys an at-the-money call and sells an out-of-the-money call at a higher strike for defined risk and defined reward bounded by the strike width. With NDLS stock at $16.33 on the most recent close, the strikes shown on this page are snapped to the nearest listed NDLS chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are NDLS bull call 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-call strike plus net debit. For the NDLS bull call spread priced from the end-of-day chain at a 30-day expiry (ATM IV 43.80%), 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 NDLS bull call spread?
- The breakeven for the NDLS bull call spread 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 NDLS market-implied 1-standard-deviation expected move in the same options snapshot is approximately 12.56%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a bull call spread on NDLS?
- Bull call spreads on NDLS reduce the cost of a bullish NDLS stock position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
- How does current NDLS implied volatility affect this bull call spread?
- NDLS ATM IV is at 43.80% with IV rank near 7.10%, 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.