How are PHG 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 PHG bull call spread priced from the end-of-day chain at a 30-day expiry (ATM IV 26.40%), the computed maximum profit is $135.00 per contract and the computed maximum loss is -$65.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a PHG bull call spread?

The breakeven for the PHG bull call spread priced on this page is roughly $27.65 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 PHG market-implied 1-standard-deviation expected move is approximately 7.57%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current PHG implied volatility affect this bull call spread?

PHG ATM IV is at 26.40% with IV rank near 2.35%, 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.

PHG Bull Call Spread Strategy

PHG (Koninklijke Philips N.V.), in the Healthcare sector, (Medical - Specialties industry), listed on NYSE.

Koninklijke Philips NV is a technology company, which engages in the healthcare, lighting, and consumer well-being markets. It operates through the following segments: Diagnosis and Treatment; Connected Care; Personal Health; and Other. The Diagnosis and Treatment segment consists of systems, smart devices, software, and services, powered by AI-enabled solutions that support precision diagnoses and minimally invasive treatment in therapeutic areas such as cardiology, peripheral vascular, neurology, surgery, and oncology. The Connected Care segment focuses on Hospital Patient Monitoring, Sleep and Respiratory Care, and Enterprise Informatics. The Personal Health segment represents Oral Healthcare business unit, Personal Care business unit, and Mother and Child Care business unit. The Other segment is involved on the Innovation and Strategy, IP Royalties, Central costs, and other small items.

PHG (Koninklijke Philips N.V.) trades in the Healthcare sector, specifically Medical - Specialties, with a market capitalization of approximately $26.32B, a trailing P/E of 23.44, a beta of 0.93 versus the broader market, a 52-week range of 23.75-33.44, average daily share volume of 1.2M, a public-listing history dating back to 1980, approximately 66K full-time employees. These structural characteristics shape how PHG stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.93 places PHG roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. PHG pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a bull call spread on PHG?

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 PHG snapshot

As of June 30, 2026, spot at $27.15, ATM IV 26.40%, IV rank 2.35%, expected move 7.57%. The bull call spread on PHG 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 17-day expiry.

Why this bull call spread structure on PHG specifically: PHG IV at 26.40% is on the cheap side of its 1-year range, which favors premium-buying structures like a PHG bull call spread, with a market-implied 1-standard-deviation move of approximately 7.57% (roughly $2.05 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 PHG expiries trade a higher absolute premium for lower per-day decay. Position sizing on PHG should anchor to the underlying notional of $27.15 per share and to the trader's directional view on PHG stock.

PHG bull call spread setup

The PHG 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 PHG near $27.15, the first option leg uses a $27.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed PHG 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 PHG shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$27.00	$0.75
Sell 1	Call	$29.00	$0.10

PHG bull call spread risk and reward

Net Premium / Debit: -$65.00
Max Profit (per contract): $135.00
Max Loss (per contract): -$65.00
Breakeven(s): $27.65
Risk / Reward Ratio: 2.077

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.

PHG bull call spread payoff curve

Modeled P&L at expiration across a range of underlying prices for the bull call spread on PHG. 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.

P&L at expiration across the modeled underlying-price range. Green shading marks profitable regions, red shading marks loss regions. Dotted purple verticals mark breakevens; the solid dark vertical marks current spot.

Underlying Price	% From Spot	P&L at Expiration
$0.01	-100.0%	-$65.00
$6.01	-77.9%	-$65.00
$12.01	-55.8%	-$65.00
$18.02	-33.6%	-$65.00
$24.02	-11.5%	-$65.00
$30.02	+10.6%	+$135.00
$36.02	+32.7%	+$135.00
$42.02	+54.8%	+$135.00
$48.03	+76.9%	+$135.00
$54.03	+99.0%	+$135.00

When traders use bull call spread on PHG

Bull call spreads on PHG reduce the cost of a bullish PHG stock position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.

PHG thesis for this bull call spread

The market-implied 1-standard-deviation range for PHG extends from approximately $25.10 on the downside to $29.20 on the upside. A PHG bull call spread caps both the risk and the reward of a bullish position; relative to an outright long call on PHG, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current PHG IV rank near 2.35% 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 PHG at 26.40%. As a Healthcare name, PHG options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to PHG-specific events.

PHG 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. PHG positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move PHG alongside the broader basket even when PHG-specific fundamentals are unchanged. Long-premium structures like a bull call spread on PHG 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 PHG chain quotes before placing a trade.

Frequently asked questions

What is a bull call spread on PHG?: A bull call spread on PHG is the bull call spread strategy applied to PHG (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 PHG stock trading near $27.15, the strikes shown on this page are snapped to the nearest listed PHG chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are PHG 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 PHG bull call spread priced from the end-of-day chain at a 30-day expiry (ATM IV 26.40%), the computed maximum profit is $135.00 per contract and the computed maximum loss is -$65.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a PHG bull call spread?: The breakeven for the PHG bull call spread priced on this page is roughly $27.65 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 PHG market-implied 1-standard-deviation expected move is approximately 7.57%; 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 PHG?: Bull call spreads on PHG reduce the cost of a bullish PHG 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 PHG implied volatility affect this bull call spread?: PHG ATM IV is at 26.40% with IV rank near 2.35%, 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.