OSIS Long Put Strategy
OSIS (OSI Systems, Inc.), in the Technology sector, (Hardware, Equipment & Parts industry), listed on NASDAQ.
OSI Systems, Inc. (OSIS) is a global company specializing in the design and production of advanced electronic systems and components. Its operations are structured across three distinct business segments: Security, Healthcare, and Optoelectronics and Manufacturing. The Security division focuses on comprehensive screening and detection technologies. This includes systems for inspecting luggage, packages, cargo, vehicles, and individuals, alongside solutions for radiation, explosive, and narcotics detection. Key product lines are marketed under names such as Rapiscan Systems, AS&E, and Gatekeeper. Beyond hardware, the segment delivers integrated security screening services, including site planning, installation, user training, and ongoing technical support, with dedicated solutions offered via the S2 brand.
OSIS (OSI Systems, Inc.) trades in the Technology sector, specifically Hardware, Equipment & Parts, with a market capitalization of approximately $3.20B, a trailing P/E of 21.71, a beta of 1.20 versus the broader market, a 52-week range of 186.5-311.72, average daily share volume of 249K, a public-listing history dating back to 1997, approximately 8K full-time employees. These structural characteristics shape how OSIS stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.20 places OSIS roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a long put on OSIS?
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.
OSIS snapshot
As of September 29, 2026, spot at $191.83, ATM IV 35.40%, IV rank 12.69%, expected move 10.15%. The long put on OSIS below is built from the September 29, 2026 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 long put structure on OSIS specifically: OSIS IV at 35.40% is on the cheap side of its 1-year range, which favors premium-buying structures like a OSIS long put, with a market-implied 1-standard-deviation move of approximately 10.15% (roughly $19.47 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 OSIS expiries trade a higher absolute premium for lower per-day decay. Position sizing on OSIS should anchor to the underlying notional of $191.83 per share and to the trader's directional view on OSIS stock.
OSIS long put setup
The OSIS long put below is built from the September 29, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With OSIS at $191.83 on that close, the first option leg uses a $190.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed OSIS 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 OSIS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $190.00 | $4.75 |
OSIS long put risk and reward
- Net Premium / Debit
- -$475.00
- Max Profit (per contract)
- $18,524.00
- Max Loss (per contract)
- -$475.00
- Breakeven(s)
- $185.25
- Risk / Reward Ratio
- 38.998
Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium.
OSIS long put payoff curve
Modeled P&L at expiration across a range of underlying prices for the long put on OSIS. 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% | +$18,524.00 |
| $42.42 | -77.9% | +$14,282.64 |
| $84.84 | -55.8% | +$10,041.29 |
| $127.25 | -33.7% | +$5,799.93 |
| $169.66 | -11.6% | +$1,558.57 |
| $212.08 | +10.6% | -$475.00 |
| $254.49 | +32.7% | -$475.00 |
| $296.90 | +54.8% | -$475.00 |
| $339.32 | +76.9% | -$475.00 |
| $381.73 | +99.0% | -$475.00 |
When traders use long put on OSIS
Long puts on OSIS hedge an existing long OSIS stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying OSIS exposure being hedged.
OSIS thesis for this long put
The market-implied 1-standard-deviation range for OSIS extends from approximately $172.36 on the downside to $211.30 on the upside. A OSIS long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long OSIS position with one put per 100 shares held. Current OSIS IV rank near 12.69% 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 OSIS at 35.40%. As a Technology name, OSIS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to OSIS-specific events.
OSIS 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. OSIS positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move OSIS alongside the broader basket even when OSIS-specific fundamentals are unchanged. Long-premium structures like a long put on OSIS 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 OSIS chain quotes before placing a trade.
Frequently asked questions
- What is a long put on OSIS?
- A long put on OSIS is the long put strategy applied to OSIS (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 OSIS stock at $191.83 on the September 29, 2026 close, the strikes shown on this page are snapped to the nearest listed OSIS chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are OSIS 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 OSIS long put priced from the September 29, 2026 end-of-day chain at a 30-day expiry (ATM IV 35.40%), the computed maximum profit is $18,524.00 per contract and the computed maximum loss is -$475.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a OSIS long put?
- The breakeven for the OSIS long put priced on this page is roughly $185.25 at expiration, derived from the September 29, 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 OSIS market-implied 1-standard-deviation expected move in the same options snapshot is approximately 10.15%; 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 OSIS?
- Long puts on OSIS hedge an existing long OSIS stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying OSIS exposure being hedged.
- How does current OSIS implied volatility affect this long put?
- OSIS ATM IV is at 35.40% with IV rank near 12.69%, 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.