NMTC Bull Call Spread Strategy
NMTC (NeuroOne Medical Technologies Corporation), in the Healthcare sector, (Medical - Devices industry), listed on NASDAQ.
NeuroOne Medical Technologies Corporation operates as a medical technology company. The company focuses on the development and commercialization of thin film electrode technology for continuous electroencephalogram (cEEG) and stereoelectroencephalography (sEEG) recording, spinal cord stimulation, brain stimulation, and ablation solutions for patients suffering from epilepsy, Parkinson's disease, dystonia, essential tremors, chronic pain due to failed back surgeries, and other related neurological disorders. It has a strategic partnership with RBC Medical Innovations to develop a radio frequency ablation generator for use with NeuroOne's combination recording and ablation electrode to record brain activity and ablate brain tissue using the same electrode. The company is based in Eden Prairie, Minnesota.
NMTC (NeuroOne Medical Technologies Corporation) trades in the Healthcare sector, specifically Medical - Devices, with a market capitalization of approximately $38.1M, a beta of 0.58 versus the broader market, a 52-week range of 3.276-6.96, average daily share volume of 39K, a public-listing history dating back to 2018, approximately 17 full-time employees. These structural characteristics shape how NMTC stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.58 indicates NMTC has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure.
What is a bull call spread on NMTC?
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.
Current NMTC snapshot
As of May 15, 2026, spot at $4.37, ATM IV 145.40%, IV rank 26.24%, expected move 41.68%. The bull call spread on NMTC 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 bull call spread structure on NMTC specifically: NMTC IV at 145.40% is on the cheap side of its 1-year range, which favors premium-buying structures like a NMTC bull call spread, with a market-implied 1-standard-deviation move of approximately 41.68% (roughly $1.82 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 NMTC expiries trade a higher absolute premium for lower per-day decay. Position sizing on NMTC should anchor to the underlying notional of $4.37 per share and to the trader's directional view on NMTC stock.
NMTC bull call spread setup
The NMTC 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 NMTC near $4.37, the first option leg uses a $4.37 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed NMTC 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 NMTC shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $4.37 | N/A |
| Sell 1 | Call | $4.59 | N/A |
NMTC 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.
NMTC bull call spread payoff curve
Modeled P&L at expiration across a range of underlying prices for the bull call spread on NMTC. 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 NMTC
Bull call spreads on NMTC reduce the cost of a bullish NMTC stock position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
NMTC thesis for this bull call spread
The market-implied 1-standard-deviation range for NMTC extends from approximately $2.55 on the downside to $6.19 on the upside. A NMTC bull call spread caps both the risk and the reward of a bullish position; relative to an outright long call on NMTC, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current NMTC IV rank near 26.24% 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 NMTC at 145.40%. As a Healthcare name, NMTC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to NMTC-specific events.
NMTC 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. NMTC positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move NMTC alongside the broader basket even when NMTC-specific fundamentals are unchanged. Long-premium structures like a bull call spread on NMTC 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 NMTC chain quotes before placing a trade.
Frequently asked questions
- What is a bull call spread on NMTC?
- A bull call spread on NMTC is the bull call spread strategy applied to NMTC (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 NMTC stock trading near $4.37, the strikes shown on this page are snapped to the nearest listed NMTC chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are NMTC 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 NMTC bull call spread priced from the end-of-day chain at a 30-day expiry (ATM IV 145.40%), 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 NMTC bull call spread?
- The breakeven for the NMTC bull call spread 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 NMTC market-implied 1-standard-deviation expected move is approximately 41.68%; 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 NMTC?
- Bull call spreads on NMTC reduce the cost of a bullish NMTC 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 NMTC implied volatility affect this bull call spread?
- NMTC ATM IV is at 145.40% with IV rank near 26.24%, 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.