PROF Cash-Secured Put Strategy
PROF (Profound Medical Corp.), in the Healthcare sector, (Medical - Devices industry), listed on NASDAQ.
Profound Medical Corp., through its subsidiaries, is a commercial-stage medical technology firm specializing in the development of magnetic resonance (MR)-guided ablation solutions. These innovative procedures are designed to treat conditions such as prostate disease and uterine fibroids, as well as providing palliative pain relief. The company markets its solutions across Canada, Germany, the United States, and Finland. Its flagship product, the TULSA-PRO system, is specifically designed for use with magnetic resonance imaging (MRI) scanners within hospital settings and other treatment centers. Additionally, Profound Medical offers Sonalleve, a therapeutic platform that addresses uterine fibroids – including through non-invasive methods – and provides palliative relief for pain linked to bone metastases. The company's primary operations are headquartered in Mississauga, Canada.
PROF (Profound Medical Corp.) trades in the Healthcare sector, specifically Medical - Devices, with a market capitalization of approximately $240.9M, a beta of 0.53 versus the broader market, a 52-week range of 3.76-8.95, average daily share volume of 87K, a public-listing history dating back to 2019, approximately 162 full-time employees. These structural characteristics shape how PROF stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.53 indicates PROF 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 cash-secured put on PROF?
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.
PROF snapshot
As of August 14, 2026, spot at $6.71, ATM IV 93.50%, IV rank 21.97%, expected move 26.81%. The cash-secured put on PROF below is built from the 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 PROF specifically: PROF IV at 93.50% is on the cheap side of its 1-year range, which means a premium-selling PROF cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 26.81% (roughly $1.80 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 PROF expiries trade a higher absolute premium for lower per-day decay. Position sizing on PROF should anchor to the underlying notional of $6.71 per share and to the trader's directional view on PROF stock.
PROF cash-secured put setup
The PROF cash-secured 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 PROF at $6.71 on that close, the first option leg uses a $6.37 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed PROF 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 PROF shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $6.37 | N/A |
PROF cash-secured put 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 premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
PROF cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on PROF. 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 cash-secured put on PROF
Cash-secured puts on PROF earn premium while a trader waits to acquire PROF stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning PROF.
PROF thesis for this cash-secured put
The market-implied 1-standard-deviation range for PROF extends from approximately $4.91 on the downside to $8.51 on the upside. A PROF cash-secured put lets a trader earn premium while waiting to acquire PROF 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 PROF IV rank near 21.97% 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 PROF at 93.50%. As a Healthcare name, PROF options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to PROF-specific events.
PROF 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. PROF positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move PROF alongside the broader basket even when PROF-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on PROF carry tail risk when realized volatility exceeds the implied move; review historical PROF earnings reactions and macro stress periods before sizing. Always rebuild the position from current PROF chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on PROF?
- A cash-secured put on PROF is the cash-secured put strategy applied to PROF (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 PROF stock at $6.71 on the most recent close, the strikes shown on this page are snapped to the nearest listed PROF chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are PROF 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 PROF cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 93.50%), 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 PROF cash-secured put?
- The breakeven for the PROF cash-secured put priced on this page is no defined breakeven on the modeled curve at expiration, derived from the 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 PROF market-implied 1-standard-deviation expected move in the same options snapshot is approximately 26.81%; 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 PROF?
- Cash-secured puts on PROF earn premium while a trader waits to acquire PROF stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning PROF.
- How does current PROF implied volatility affect this cash-secured put?
- PROF ATM IV is at 93.50% with IV rank near 21.97%, 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.