QRVO Covered Call Strategy
QRVO (Qorvo, Inc.), in the Technology sector, (Semiconductors industry), listed on NASDAQ.
Qorvo, Inc. is a global technology company focused on developing and bringing to market a diverse range of products and innovations for the wireless, wired, and power sectors. Its operations are organized into two primary divisions: Mobile Products, and Infrastructure and Defense Products. Within its Mobile Products segment, Qorvo supplies critical components for a wide array of consumer electronics, including smartphones, wearables, laptops, and tablets. These offerings encompass radio frequency (RF) power management integrated circuits (PMICs), ultra-wideband (UWB) system-on-a-chip (SoC) and system-in-package (SiP) solutions, MEMS sensors, antenna tuners and antennaplexers, along with various discrete components like multiplexers, duplexers, filters, and switches. The Infrastructure and Defense Products segment addresses a broad spectrum of industries: For cellular base stations, Qorvo provides components such as switch-low noise amplifier (LNA) modules, variable gain amplifiers (VGAs), integrated power amplifier (PA) Doherty modules, discrete LNAs, and high-power GaN amplifiers. It also manufactures Silicon Carbide (SiC) products, including Schottky diodes and transistors, vital for applications in the automotive, industrial, IT infrastructure, and renewable energy sectors.
QRVO (Qorvo, Inc.) trades in the Technology sector, specifically Semiconductors, with a market capitalization of approximately $8.67B, a trailing P/E of 21.66, a beta of 1.45 versus the broader market, a 52-week range of 74.92-109.49, average daily share volume of 1.2M, a public-listing history dating back to 2015, approximately 5K full-time employees. These structural characteristics shape how QRVO stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.45 indicates QRVO 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 QRVO?
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.
QRVO snapshot
As of August 14, 2026, spot at $97.63, ATM IV 36.90%, IV rank 22.71%, expected move 10.58%. The covered call on QRVO 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 7-day expiry.
Why this covered call structure on QRVO specifically: QRVO IV at 36.90% is on the cheap side of its 1-year range, which means a premium-selling QRVO covered call collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 10.58% (roughly $10.33 on the underlying). The 7-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated QRVO expiries trade a higher absolute premium for lower per-day decay. Position sizing on QRVO should anchor to the underlying notional of $97.63 per share and to the trader's directional view on QRVO stock.
QRVO covered call setup
The QRVO covered call 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 QRVO at $97.63 on that close, the first option leg uses a $105.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed QRVO chain at a 7-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 QRVO shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $97.63 | long |
| Sell 1 | Call | $105.00 | $0.20 |
QRVO covered call risk and reward
- Net Premium / Debit
- -$9,743.00
- Max Profit (per contract)
- $757.00
- Max Loss (per contract)
- -$9,742.00
- Breakeven(s)
- $97.43
- Risk / Reward Ratio
- 0.078
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.
QRVO covered call payoff curve
Modeled P&L at expiration across a range of underlying prices for the covered call on QRVO. 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% | -$9,742.00 |
| $21.60 | -77.9% | -$7,583.46 |
| $43.18 | -55.8% | -$5,424.91 |
| $64.77 | -33.7% | -$3,266.37 |
| $86.35 | -11.6% | -$1,107.83 |
| $107.94 | +10.6% | +$757.00 |
| $129.52 | +32.7% | +$757.00 |
| $151.11 | +54.8% | +$757.00 |
| $172.69 | +76.9% | +$757.00 |
| $194.28 | +99.0% | +$757.00 |
When traders use covered call on QRVO
Covered calls on QRVO are an income strategy run on existing QRVO stock positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.
QRVO thesis for this covered call
The market-implied 1-standard-deviation range for QRVO extends from approximately $87.30 on the downside to $107.96 on the upside. A QRVO covered call collects premium on an existing long QRVO position, trading off upside above the short call strike for immediate income; the short strike selection should reflect the trader's view on whether QRVO will breach that level within the expiration window. Current QRVO IV rank near 22.71% 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 QRVO at 36.90%. As a Technology name, QRVO options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to QRVO-specific events.
QRVO 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. QRVO positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move QRVO alongside the broader basket even when QRVO-specific fundamentals are unchanged. Short-premium structures like a covered call on QRVO carry tail risk when realized volatility exceeds the implied move; review historical QRVO earnings reactions and macro stress periods before sizing. Always rebuild the position from current QRVO chain quotes before placing a trade.
Frequently asked questions
- What is a covered call on QRVO?
- A covered call on QRVO is the covered call strategy applied to QRVO (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 QRVO stock at $97.63 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed QRVO chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are QRVO 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 QRVO covered call priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 36.90%), the computed maximum profit is $757.00 per contract and the computed maximum loss is -$9,742.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a QRVO covered call?
- The breakeven for the QRVO covered call priced on this page is roughly $97.43 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 QRVO market-implied 1-standard-deviation expected move in the same options snapshot is approximately 10.58%; 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 QRVO?
- Covered calls on QRVO are an income strategy run on existing QRVO 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 QRVO implied volatility affect this covered call?
- QRVO ATM IV is at 36.90% with IV rank near 22.71%, 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.