OI Long Put Strategy
OI (O-I Glass, Inc.), in the Consumer Cyclical sector, (Packaging & Containers industry), listed on NYSE.
O-I Glass, Inc., through its various subsidiaries, is dedicated to the manufacturing and global distribution of glass packaging. The company primarily furnishes glass containers to businesses in the food and beverage industries across the Americas, Europe, and the Asia Pacific regions. Their product offerings encompass glass bottles and jars specifically designed for alcoholic beverages, such as beer, spirits, wine, and flavored malt beverages. Additionally, they provide glass packaging solutions for a range of other products, including various food items, soft drinks, teas, juices, and pharmaceutical goods. O-I Glass ensures a comprehensive selection of glass containers, available in diverse sizes, unique shapes, and a wide spectrum of colors to meet client specifications. The company facilitates sales directly to its customers, often secured through multi-year supply contracts, and also leverages a network of distributors.
OI (O-I Glass, Inc.) trades in the Consumer Cyclical sector, specifically Packaging & Containers, with a market capitalization of approximately $1.49B, a beta of 0.65 versus the broader market, a 52-week range of 7.75-16.91, average daily share volume of 2.8M, a public-listing history dating back to 1991, approximately 21K full-time employees. These structural characteristics shape how OI stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.65 indicates OI 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 long put on OI?
A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration.
Current OI snapshot
As of June 30, 2026, spot at $9.65, ATM IV 57.50%, IV rank 68.78%, expected move 16.48%. The long put on OI 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 52-day expiry.
Why this long put structure on OI specifically: OI IV at 57.50% 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 16.48% (roughly $1.59 on the underlying). The 52-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated OI expiries trade a higher absolute premium for lower per-day decay. Position sizing on OI should anchor to the underlying notional of $9.65 per share and to the trader's directional view on OI stock.
OI long put setup
The OI long put below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With OI near $9.65, the first option leg uses a $10.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed OI chain at a 52-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 OI shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $10.00 | $1.10 |
OI long put risk and reward
- Net Premium / Debit
- -$110.00
- Max Profit (per contract)
- $889.00
- Max Loss (per contract)
- -$110.00
- Breakeven(s)
- $8.90
- Risk / Reward Ratio
- 8.082
Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium.
OI long put payoff curve
Modeled P&L at expiration across a range of underlying prices for the long put on OI. 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 | -99.9% | +$889.00 |
| $2.14 | -77.8% | +$675.74 |
| $4.28 | -55.7% | +$462.49 |
| $6.41 | -33.6% | +$249.23 |
| $8.54 | -11.5% | +$35.97 |
| $10.67 | +10.6% | -$110.00 |
| $12.81 | +32.7% | -$110.00 |
| $14.94 | +54.8% | -$110.00 |
| $17.07 | +76.9% | -$110.00 |
| $19.20 | +99.0% | -$110.00 |
When traders use long put on OI
Long puts on OI hedge an existing long OI stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying OI exposure being hedged.
OI thesis for this long put
The market-implied 1-standard-deviation range for OI extends from approximately $8.06 on the downside to $11.24 on the upside. A OI long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long OI position with one put per 100 shares held. Current OI IV rank near 68.78% is mid-range against its 1-year distribution, so the IV signal is neutral; the long put thesis on OI should anchor more to the directional view and the expected-move geometry. As a Consumer Cyclical name, OI options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to OI-specific events.
OI long put positions are structurally 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. OI positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move OI alongside the broader basket even when OI-specific fundamentals are unchanged. Long-premium structures like a long put on OI 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 OI chain quotes before placing a trade.
Frequently asked questions
- What is a long put on OI?
- A long put on OI is the long put strategy applied to OI (stock). The strategy is structurally bearish: A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration. With OI stock trading near $9.65, the strikes shown on this page are snapped to the nearest listed OI chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are OI long put max profit and max loss calculated?
- Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium. For the OI long put priced from the end-of-day chain at a 30-day expiry (ATM IV 57.50%), the computed maximum profit is $889.00 per contract and the computed maximum loss is -$110.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a OI long put?
- The breakeven for the OI long put priced on this page is roughly $8.90 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 OI market-implied 1-standard-deviation expected move is approximately 16.48%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a long put on OI?
- Long puts on OI hedge an existing long OI stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying OI exposure being hedged.
- How does current OI implied volatility affect this long put?
- OI ATM IV is at 57.50% with IV rank near 68.78%, 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.