How are PTGX covered call max profit and max loss calculated?

Max profit equals short-strike minus cost basis plus premium times 100; max loss is cost basis minus premium (at zero). Breakeven is cost basis minus premium. For the PTGX covered call priced from the end-of-day chain at a 30-day expiry (ATM IV 39.10%), the computed maximum profit is $929.50 per contract and the computed maximum loss is -$10,069.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a PTGX covered call?

The breakeven for the PTGX covered call priced on this page is roughly $100.71 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 PTGX market-implied 1-standard-deviation expected move is approximately 11.21%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current PTGX implied volatility affect this covered call?

PTGX ATM IV is at 39.10% with IV rank near 3.70%, 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.

PTGX Covered Call Strategy

PTGX (Protagonist Therapeutics, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.

Protagonist Therapeutics, Inc., a biopharmaceutical company, discovers and develops peptide-based therapeutic drugs to address hematology and blood disorders, and inflammatory and immunomodulatory diseases. It is developing rusfertide (PTG-300), an injectable hepcidin mimetic that is in Phase II clinical trials for the treatment of patients with polycythemia vera and hereditary hemochromatosis, as well as for the treatment of other blood disorders; PN-943, an oral, alpha-4-beta-7 integrin- specific antagonist peptide that is in Phase II clinical trials for treating inflammatory bowel disease (IBD); and PN-235, an orally delivered interleukin-23 receptor specific antagonist for the treatment of IBD and non-IBD indications. The company has a license and collaboration agreement with Janssen Biotech, Inc. Protagonist Therapeutics, Inc. was incorporated in 2006 and is headquartered in Newark, California.

PTGX (Protagonist Therapeutics, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $6.68B, a beta of 1.88 versus the broader market, a 52-week range of 43.465-107.84, average daily share volume of 759K, a public-listing history dating back to 2016, approximately 124 full-time employees. These structural characteristics shape how PTGX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.88 indicates PTGX has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.

What is a covered call on PTGX?

A covered call pairs long stock with a short out-of-the-money call, collecting premium and capping upside above the short strike in exchange for income.

Current PTGX snapshot

As of May 15, 2026, spot at $102.63, ATM IV 39.10%, IV rank 3.70%, expected move 11.21%. The covered call on PTGX 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 34-day expiry.

Why this covered call structure on PTGX specifically: PTGX IV at 39.10% is on the cheap side of its 1-year range, which means a premium-selling PTGX covered call collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 11.21% (roughly $11.50 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated PTGX expiries trade a higher absolute premium for lower per-day decay. Position sizing on PTGX should anchor to the underlying notional of $102.63 per share and to the trader's directional view on PTGX stock.

PTGX covered call setup

The PTGX covered call below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With PTGX near $102.63, the first option leg uses a $110.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed PTGX chain at a 34-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 PTGX shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 100 shares	Stock	$102.63	long
Sell 1	Call	$110.00	$1.93

PTGX covered call risk and reward

Net Premium / Debit: -$10,070.50
Max Profit (per contract): $929.50
Max Loss (per contract): -$10,069.50
Breakeven(s): $100.71
Risk / Reward Ratio: 0.092

Max profit equals short-strike minus cost basis plus premium times 100; max loss is cost basis minus premium (at zero). Breakeven is cost basis minus premium.

PTGX covered call payoff curve

Modeled P&L at expiration across a range of underlying prices for the covered call on PTGX. 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%	-$10,069.50
$22.70	-77.9%	-$7,800.40
$45.39	-55.8%	-$5,531.31
$68.08	-33.7%	-$3,262.21
$90.77	-11.6%	-$993.12
$113.46	+10.6%	+$929.50
$136.16	+32.7%	+$929.50
$158.85	+54.8%	+$929.50
$181.54	+76.9%	+$929.50
$204.23	+99.0%	+$929.50

When traders use covered call on PTGX

Covered calls on PTGX are an income strategy run on existing PTGX stock positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.

PTGX thesis for this covered call

The market-implied 1-standard-deviation range for PTGX extends from approximately $91.13 on the downside to $114.13 on the upside. A PTGX covered call collects premium on an existing long PTGX position, trading off upside above the short call strike for immediate income; the short strike selection should reflect the trader's view on whether PTGX will breach that level within the expiration window. Current PTGX IV rank near 3.70% 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 PTGX at 39.10%. As a Healthcare name, PTGX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to PTGX-specific events.

PTGX covered call 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. PTGX positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move PTGX alongside the broader basket even when PTGX-specific fundamentals are unchanged. Short-premium structures like a covered call on PTGX carry tail risk when realized volatility exceeds the implied move; review historical PTGX earnings reactions and macro stress periods before sizing. Always rebuild the position from current PTGX chain quotes before placing a trade.

Frequently asked questions

What is a covered call on PTGX?: A covered call on PTGX is the covered call strategy applied to PTGX (stock). The strategy is structurally neutral to slightly bullish: A covered call pairs long stock with a short out-of-the-money call, collecting premium and capping upside above the short strike in exchange for income. With PTGX stock trading near $102.63, the strikes shown on this page are snapped to the nearest listed PTGX chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are PTGX covered call max profit and max loss calculated?: Max profit equals short-strike minus cost basis plus premium times 100; max loss is cost basis minus premium (at zero). Breakeven is cost basis minus premium. For the PTGX covered call priced from the end-of-day chain at a 30-day expiry (ATM IV 39.10%), the computed maximum profit is $929.50 per contract and the computed maximum loss is -$10,069.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a PTGX covered call?: The breakeven for the PTGX covered call priced on this page is roughly $100.71 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 PTGX market-implied 1-standard-deviation expected move is approximately 11.21%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a covered call on PTGX?: Covered calls on PTGX are an income strategy run on existing PTGX stock positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.
How does current PTGX implied volatility affect this covered call?: PTGX ATM IV is at 39.10% with IV rank near 3.70%, 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.