RLGT Covered Call Strategy
RLGT (Radiant Logistics, Inc.), in the Industrials sector, (Integrated Freight & Logistics industry), listed on AMEX.
Radiant Logistics, Inc., a third-party logistics company, provides multi-modal transportation and logistics services primarily in the United States and Canada. The company offers domestic and international air and ocean freight forwarding services; and freight brokerage services, including truckload, less than truckload, and intermodal services. It also provides other value-added supply chain services, including materials management and distribution services, as well as customs house brokerage services. The company serves consumer goods, food and beverage, manufacturing, and retail customers through a network of company-owned and strategic operating partner locations under the Radiant, Radiant Canada, Clipper, Airgroup, Adcom, DBA, and Service By Air brands. Radiant Logistics, Inc. was incorporated in 2001 and is headquartered in Renton, Washington.
RLGT (Radiant Logistics, Inc.) trades in the Industrials sector, specifically Integrated Freight & Logistics, with a market capitalization of approximately $392.0M, a trailing P/E of 24.23, a beta of 0.82 versus the broader market, a 52-week range of 5.78-8.73, average daily share volume of 144K, a public-listing history dating back to 2006, approximately 909 full-time employees. These structural characteristics shape how RLGT stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.82 places RLGT roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a covered call on RLGT?
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 RLGT snapshot
As of May 15, 2026, spot at $8.30, ATM IV 31.20%, IV rank 10.20%, expected move 8.94%. The covered call on RLGT 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 RLGT specifically: RLGT IV at 31.20% is on the cheap side of its 1-year range, which means a premium-selling RLGT covered call collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 8.94% (roughly $0.74 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 RLGT expiries trade a higher absolute premium for lower per-day decay. Position sizing on RLGT should anchor to the underlying notional of $8.30 per share and to the trader's directional view on RLGT stock.
RLGT covered call setup
The RLGT 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 RLGT near $8.30, the first option leg uses a $8.72 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed RLGT 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 RLGT shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $8.30 | long |
| Sell 1 | Call | $8.72 | N/A |
RLGT covered call 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 short-strike minus cost basis plus premium times 100; max loss is cost basis minus premium (at zero). Breakeven is cost basis minus premium.
RLGT covered call payoff curve
Modeled P&L at expiration across a range of underlying prices for the covered call on RLGT. 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 covered call on RLGT
Covered calls on RLGT are an income strategy run on existing RLGT stock positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.
RLGT thesis for this covered call
The market-implied 1-standard-deviation range for RLGT extends from approximately $7.56 on the downside to $9.04 on the upside. A RLGT covered call collects premium on an existing long RLGT position, trading off upside above the short call strike for immediate income; the short strike selection should reflect the trader's view on whether RLGT will breach that level within the expiration window. Current RLGT IV rank near 10.20% 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 RLGT at 31.20%. As a Industrials name, RLGT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to RLGT-specific events.
RLGT 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. RLGT positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move RLGT alongside the broader basket even when RLGT-specific fundamentals are unchanged. Short-premium structures like a covered call on RLGT carry tail risk when realized volatility exceeds the implied move; review historical RLGT earnings reactions and macro stress periods before sizing. Always rebuild the position from current RLGT chain quotes before placing a trade.
Frequently asked questions
- What is a covered call on RLGT?
- A covered call on RLGT is the covered call strategy applied to RLGT (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 RLGT stock trading near $8.30, the strikes shown on this page are snapped to the nearest listed RLGT chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are RLGT 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 RLGT covered call priced from the end-of-day chain at a 30-day expiry (ATM IV 31.20%), 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 RLGT covered call?
- The breakeven for the RLGT covered call 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 RLGT market-implied 1-standard-deviation expected move is approximately 8.94%; 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 RLGT?
- Covered calls on RLGT are an income strategy run on existing RLGT 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 RLGT implied volatility affect this covered call?
- RLGT ATM IV is at 31.20% with IV rank near 10.20%, 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.