REPL Bear Put Spread Strategy
REPL (Replimune Group, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Replimune Group, Inc., a biotechnology company, develops oncolytic immuno-gene therapies to treat cancer. It uses its proprietary Immunotherapy platform to design and develop product candidates that are intended to activate the immune system against cancer. The company's lead product candidate is RP1, a selectively replicating version of herpes simplex virus 1, which is in Phase I/II clinical trials for a range of solid tumors; and that is in Phase II clinical trials for patients with cutaneous squamous cell carcinoma. It is also developing RP2, which is in Phase I clinical trials for an anti-CTLA-4 antibody-like protein in order to block the inhibition of the immune response otherwise caused by CTLA-4; and RP3 that is in Phase I clinical trials to express immune-activating proteins that stimulate T cells. Replimune Group, Inc. was founded in 2015 and is headquartered in Woburn, Massachusetts.
REPL (Replimune Group, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $437.6M, a beta of 0.12 versus the broader market, a 52-week range of 1.5-13.24, average daily share volume of 5.4M, a public-listing history dating back to 2018, approximately 479 full-time employees. These structural characteristics shape how REPL stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.12 indicates REPL 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 REPL?
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 REPL snapshot
As of May 15, 2026, spot at $5.26, ATM IV 143.13%, IV rank 30.24%, expected move 41.04%. The bear put spread on REPL 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 14-day expiry.
Why this bear put spread structure on REPL specifically: REPL IV at 143.13% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 41.04% (roughly $2.16 on the underlying). The 14-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated REPL expiries trade a higher absolute premium for lower per-day decay. Position sizing on REPL should anchor to the underlying notional of $5.26 per share and to the trader's directional view on REPL stock.
REPL bear put spread setup
The REPL 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 REPL near $5.26, the first option leg uses a $5.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed REPL chain at a 14-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 REPL shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $5.00 | $0.40 |
| Sell 1 | Put | $5.00 | $0.40 |
REPL bear put 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-put strike minus net debit.
REPL bear put spread payoff curve
Modeled P&L at expiration across a range of underlying prices for the bear put spread on REPL. 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 | -99.8% | $0.00 |
| $1.17 | -77.7% | $0.00 |
| $2.33 | -55.6% | $0.00 |
| $3.50 | -33.5% | $0.00 |
| $4.66 | -11.5% | $0.00 |
| $5.82 | +10.6% | $0.00 |
| $6.98 | +32.7% | $0.00 |
| $8.14 | +54.8% | $0.00 |
| $9.31 | +76.9% | $0.00 |
| $10.47 | +99.0% | $0.00 |
When traders use bear put spread on REPL
Bear put spreads on REPL reduce the cost of a bearish REPL stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.
REPL thesis for this bear put spread
The market-implied 1-standard-deviation range for REPL extends from approximately $3.10 on the downside to $7.42 on the upside. A REPL bear put spread caps both the risk and the reward of a bearish position; relative to an outright long put on REPL, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current REPL IV rank near 30.24% is mid-range against its 1-year distribution, so the IV signal is neutral; the bear put spread thesis on REPL should anchor more to the directional view and the expected-move geometry. As a Healthcare name, REPL options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to REPL-specific events.
REPL 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. REPL positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move REPL alongside the broader basket even when REPL-specific fundamentals are unchanged. Long-premium structures like a bear put spread on REPL 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 REPL chain quotes before placing a trade.
Frequently asked questions
- What is a bear put spread on REPL?
- A bear put spread on REPL is the bear put spread strategy applied to REPL (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 REPL stock trading near $5.26, the strikes shown on this page are snapped to the nearest listed REPL chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are REPL 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 REPL bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 143.13%), 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 REPL bear put spread?
- The breakeven for the REPL 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 REPL market-implied 1-standard-deviation expected move is approximately 41.04%; 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 REPL?
- Bear put spreads on REPL reduce the cost of a bearish REPL 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 REPL implied volatility affect this bear put spread?
- REPL ATM IV is at 143.13% with IV rank near 30.24%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.