How are PSN 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 PSN bull call spread priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 43.90%), the computed maximum profit is $0.00 per contract and the computed maximum loss is $0.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a PSN bull call spread?

The breakeven for the PSN bull call spread priced on this page is no defined breakeven on the modeled curve 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 PSN market-implied 1-standard-deviation expected move in the same options snapshot is approximately 12.59%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

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

PSN ATM IV is at 43.90% with IV rank near 5.44%, 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.

PSN Bull Call Spread Strategy

PSN (Parsons Corporation), in the Technology sector, (Information Technology Services industry), listed on NYSE.

Parsons Corporation is a global provider of comprehensive solutions and services, primarily operating in the defense, intelligence, and critical infrastructure sectors. Its reach extends across North America, the Middle East, and other international regions. The company organizes its operations into two main divisions: Federal Solutions and Critical Infrastructure. Within its Federal Solutions segment, Parsons delivers advanced cybersecurity and intelligence capabilities. This includes developing and deploying offensive and defensive cyber platforms, tools, and operational support for clients like the U.S. Department of Defense and the wider U.S. intelligence community.

PSN (Parsons Corporation) trades in the Technology sector, specifically Information Technology Services, with a market capitalization of approximately $5.16B, a trailing P/E of 33.34, a beta of 0.69 versus the broader market, a 52-week range of 36.26-89.5, average daily share volume of 1.4M, a public-listing history dating back to 2019, approximately 21K full-time employees. These structural characteristics shape how PSN stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.69 indicates PSN 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 bull call spread on PSN?

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.

PSN snapshot

As of August 14, 2026, spot at $47.97, ATM IV 43.90%, IV rank 5.44%, expected move 12.59%. The bull call spread on PSN 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 bull call spread structure on PSN specifically: PSN IV at 43.90% is on the cheap side of its 1-year range, which favors premium-buying structures like a PSN bull call spread, with a market-implied 1-standard-deviation move of approximately 12.59% (roughly $6.04 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 PSN expiries trade a higher absolute premium for lower per-day decay. Position sizing on PSN should anchor to the underlying notional of $47.97 per share and to the trader's directional view on PSN stock.

PSN bull call spread setup

The PSN bull call spread 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 PSN at $47.97 on that close, the first option leg uses a $50.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed PSN 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 PSN shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$50.00	$1.80
Sell 1	Call	$50.00	$1.80

PSN bull call spread risk and reward

Net Premium / Debit: $0.00
Max Profit (per contract): $0.00
Max Loss (per contract): $0.00
Breakeven(s): None on modeled curve
Risk / Reward Ratio: N/A

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.

PSN bull call spread payoff curve

Modeled P&L at expiration across a range of underlying prices for the bull call spread on PSN. 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%	$0.00
$10.62	-77.9%	$0.00
$21.22	-55.8%	$0.00
$31.83	-33.7%	$0.00
$42.43	-11.5%	$0.00
$53.04	+10.6%	$0.00
$63.64	+32.7%	$0.00
$74.25	+54.8%	$0.00
$84.85	+76.9%	$0.00
$95.46	+99.0%	$0.00

When traders use bull call spread on PSN

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

PSN thesis for this bull call spread

The market-implied 1-standard-deviation range for PSN extends from approximately $41.93 on the downside to $54.01 on the upside. A PSN bull call spread caps both the risk and the reward of a bullish position; relative to an outright long call on PSN, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current PSN IV rank near 5.44% 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 PSN at 43.90%. As a Technology name, PSN options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to PSN-specific events.

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

Frequently asked questions

What is a bull call spread on PSN?: A bull call spread on PSN is the bull call spread strategy applied to PSN (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 PSN stock at $47.97 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed PSN chain strike and the premiums come straight from that session's bid/ask midpoint.
How are PSN 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 PSN bull call spread priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 43.90%), the computed maximum profit is $0.00 per contract and the computed maximum loss is $0.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a PSN bull call spread?: The breakeven for the PSN bull call spread priced on this page is no defined breakeven on the modeled curve 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 PSN market-implied 1-standard-deviation expected move in the same options snapshot is approximately 12.59%; 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 PSN?: Bull call spreads on PSN reduce the cost of a bullish PSN 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 PSN implied volatility affect this bull call spread?: PSN ATM IV is at 43.90% with IV rank near 5.44%, 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.