QRHC Bear Put Spread Strategy
QRHC (Quest Resource Holding Corporation), in the Industrials sector, (Waste Management industry), listed on NASDAQ.
Quest Resource Holding Corporation, together with its subsidiaries, provides solutions for the reuse, recycling, and disposal of various waste streams and recyclables in the United States. It offers disposal and recycling services for motor oil and automotive lubricants, oil filters, scrap tires, oily water, goods destruction, food waste, meat renderings, cooking oil and grease trap waste, plastics, cardboard, metal, glass, mixed paper, construction debris, as well as a large variety of regulated and non-regulated solid, liquid, and gas wastes. The company provides santifreeze and windshield washer fluid, dumpster and compacting equipment, and other minor ancillary services. In addition, it offers landfill diversion services. The company's services focus on the waste streams and recyclables from big box, grocers, and other retailers; automotive maintenance, quick lube, dealerships, and collision repair; transportation, logistics, and internal fleet operators; manufacturing plants; multi-family and commercial properties; restaurant chains and food operations; and construction and demolition projects. It markets its services to automotive, manufacturing, hospitality and retail, construction and demolition, and commercial and multi-family property management industries through direct sales force and strategic partnerships.
QRHC (Quest Resource Holding Corporation) trades in the Industrials sector, specifically Waste Management, with a market capitalization of approximately $22.5M, a beta of 0.21 versus the broader market, a 52-week range of 0.81-2.55, average daily share volume of 58K, a public-listing history dating back to 2010, approximately 224 full-time employees. These structural characteristics shape how QRHC stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.21 indicates QRHC 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 bear put spread on QRHC?
A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width.
Current QRHC snapshot
As of May 15, 2026, spot at $1.06, ATM IV 28.00%, IV rank 2.32%, expected move 8.03%. The bear put spread on QRHC 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 bear put spread structure on QRHC specifically: QRHC IV at 28.00% is on the cheap side of its 1-year range, which favors premium-buying structures like a QRHC bear put spread, with a market-implied 1-standard-deviation move of approximately 8.03% (roughly $0.09 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 QRHC expiries trade a higher absolute premium for lower per-day decay. Position sizing on QRHC should anchor to the underlying notional of $1.06 per share and to the trader's directional view on QRHC stock.
QRHC bear put spread setup
The QRHC bear put 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 QRHC near $1.06, the first option leg uses a $1.06 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed QRHC 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 QRHC shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $1.06 | N/A |
| Sell 1 | Put | $1.01 | N/A |
QRHC bear put spread 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 strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit.
QRHC bear put spread payoff curve
Modeled P&L at expiration across a range of underlying prices for the bear put spread on QRHC. 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 bear put spread on QRHC
Bear put spreads on QRHC reduce the cost of a bearish QRHC stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.
QRHC thesis for this bear put spread
The market-implied 1-standard-deviation range for QRHC extends from approximately $0.97 on the downside to $1.15 on the upside. A QRHC bear put spread caps both the risk and the reward of a bearish position; relative to an outright long put on QRHC, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current QRHC IV rank near 2.32% 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 QRHC at 28.00%. As a Industrials name, QRHC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to QRHC-specific events.
QRHC bear put spread positions are structurally moderately 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. QRHC positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move QRHC alongside the broader basket even when QRHC-specific fundamentals are unchanged. Long-premium structures like a bear put spread on QRHC 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 QRHC chain quotes before placing a trade.
Frequently asked questions
- What is a bear put spread on QRHC?
- A bear put spread on QRHC is the bear put spread strategy applied to QRHC (stock). The strategy is structurally moderately bearish: A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width. With QRHC stock trading near $1.06, the strikes shown on this page are snapped to the nearest listed QRHC chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are QRHC bear put 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-put strike minus net debit. For the QRHC bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 28.00%), 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 QRHC bear put spread?
- The breakeven for the QRHC bear put spread priced on this page is no defined breakeven on the modeled curve 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 QRHC market-implied 1-standard-deviation expected move is approximately 8.03%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a bear put spread on QRHC?
- Bear put spreads on QRHC reduce the cost of a bearish QRHC stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.
- How does current QRHC implied volatility affect this bear put spread?
- QRHC ATM IV is at 28.00% with IV rank near 2.32%, 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.