ODFL Cash-Secured Put Strategy
ODFL (Old Dominion Freight Line, Inc.), in the Industrials sector, (Trucking industry), listed on NASDAQ.
Old Dominion Freight Line, Inc. (ODFL) serves as a prominent less-than-truckload (LTL) freight carrier operating across the United States and North America. The company's offerings include LTL shipping solutions at regional, inter-regional, and national levels, often featuring expedited delivery options. Furthermore, ODFL provides a variety of supplementary services, such as container drayage, truckload brokerage, and supply chain consultancy. As of December 31, 2021, its extensive infrastructure comprised 10,403 tractors, 27,917 linehaul trailers, and 13,303 pickup and delivery trailers, supported by 3 fleet maintenance centers and 251 service facilities. Founded in 1934, Old Dominion Freight Line, Inc. has its corporate headquarters situated in Thomasville, North Carolina.
ODFL (Old Dominion Freight Line, Inc.) trades in the Industrials sector, specifically Trucking, with a market capitalization of approximately $43.88B, a trailing P/E of 40.42, a beta of 1.18 versus the broader market, a 52-week range of 126.01-252.03, average daily share volume of 1.9M, a public-listing history dating back to 1991, approximately 21K full-time employees. These structural characteristics shape how ODFL stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.18 places ODFL roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 40.42 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. ODFL 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 ODFL?
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.
ODFL snapshot
As of August 14, 2026, spot at $210.66, ATM IV 32.90%, IV rank 6.61%, expected move 9.43%. The cash-secured put on ODFL 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 ODFL specifically: ODFL IV at 32.90% is on the cheap side of its 1-year range, which means a premium-selling ODFL cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 9.43% (roughly $19.87 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 ODFL expiries trade a higher absolute premium for lower per-day decay. Position sizing on ODFL should anchor to the underlying notional of $210.66 per share and to the trader's directional view on ODFL stock.
ODFL cash-secured put setup
The ODFL 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 ODFL at $210.66 on that close, the first option leg uses a $200.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ODFL 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 ODFL shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $200.00 | $4.25 |
ODFL cash-secured put risk and reward
- Net Premium / Debit
- +$425.00
- Max Profit (per contract)
- $425.00
- Max Loss (per contract)
- -$19,574.00
- Breakeven(s)
- $195.75
- Risk / Reward Ratio
- 0.022
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
ODFL cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on ODFL. 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% | -$19,574.00 |
| $46.59 | -77.9% | -$14,916.30 |
| $93.16 | -55.8% | -$10,258.60 |
| $139.74 | -33.7% | -$5,600.90 |
| $186.32 | -11.6% | -$943.21 |
| $232.89 | +10.6% | +$425.00 |
| $279.47 | +32.7% | +$425.00 |
| $326.05 | +54.8% | +$425.00 |
| $372.63 | +76.9% | +$425.00 |
| $419.20 | +99.0% | +$425.00 |
When traders use cash-secured put on ODFL
Cash-secured puts on ODFL earn premium while a trader waits to acquire ODFL stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning ODFL.
ODFL thesis for this cash-secured put
The market-implied 1-standard-deviation range for ODFL extends from approximately $190.79 on the downside to $230.53 on the upside. A ODFL cash-secured put lets a trader earn premium while waiting to acquire ODFL 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 ODFL IV rank near 6.61% 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 ODFL at 32.90%. As a Industrials name, ODFL options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ODFL-specific events.
ODFL 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. ODFL positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ODFL alongside the broader basket even when ODFL-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on ODFL carry tail risk when realized volatility exceeds the implied move; review historical ODFL earnings reactions and macro stress periods before sizing. Always rebuild the position from current ODFL chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on ODFL?
- A cash-secured put on ODFL is the cash-secured put strategy applied to ODFL (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 ODFL stock at $210.66 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed ODFL chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are ODFL 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 ODFL cash-secured put priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 32.90%), the computed maximum profit is $425.00 per contract and the computed maximum loss is -$19,574.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a ODFL cash-secured put?
- The breakeven for the ODFL cash-secured put priced on this page is roughly $195.75 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 ODFL market-implied 1-standard-deviation expected move in the same options snapshot is approximately 9.43%; 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 ODFL?
- Cash-secured puts on ODFL earn premium while a trader waits to acquire ODFL stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning ODFL.
- How does current ODFL implied volatility affect this cash-secured put?
- ODFL ATM IV is at 32.90% with IV rank near 6.61%, 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.