ROL Cash-Secured Put Strategy
ROL (Rollins, Inc.), in the Industrials sector, (Environmental Services industry), listed on NYSE.
Rollins, Inc. operates a network of subsidiaries that specialize in delivering pest and wildlife management solutions to a diverse clientele, encompassing both homeowners and commercial enterprises, throughout the United States and globally. For residential properties, the company offers comprehensive pest control, safeguarding homes from prevalent invaders such as rodents, insects, and other nuisance animals. Furthermore, it devises tailored pest management strategies for various business sectors, including healthcare, foodservice, and logistics. Beyond standard pest solutions, Rollins, Inc. also provides a range of termite defense options, from conventional treatments to baiting systems, alongside other complementary services. The firm serves its customers directly through its own operations as well as through its extensive franchisee network. Established in 1948, Rollins, Inc. maintains its headquarters in Atlanta, Georgia.
ROL (Rollins, Inc.) trades in the Industrials sector, specifically Environmental Services, with a market capitalization of approximately $17.57B, a trailing P/E of 33.06, a beta of 0.74 versus the broader market, a 52-week range of 36.295-66.14, average daily share volume of 4.4M, a public-listing history dating back to 1980, approximately 22K full-time employees. These structural characteristics shape how ROL stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.74 places ROL roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. ROL pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a cash-secured put on ROL?
A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike.
ROL snapshot
As of August 14, 2026, spot at $36.27, ATM IV 27.30%, IV rank 6.22%, expected move 7.83%. The cash-secured put on ROL 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 cash-secured put structure on ROL specifically: ROL IV at 27.30% is on the cheap side of its 1-year range, which means a premium-selling ROL cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 7.83% (roughly $2.84 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 ROL expiries trade a higher absolute premium for lower per-day decay. Position sizing on ROL should anchor to the underlying notional of $36.27 per share and to the trader's directional view on ROL stock.
ROL cash-secured put setup
The ROL cash-secured put 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 ROL at $36.27 on that close, the first option leg uses a $35.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ROL 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 ROL shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $35.00 | $0.10 |
ROL cash-secured put risk and reward
- Net Premium / Debit
- +$10.00
- Max Profit (per contract)
- $10.00
- Max Loss (per contract)
- -$3,489.00
- Breakeven(s)
- $34.90
- Risk / Reward Ratio
- 0.003
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
ROL cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on ROL. 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% | -$3,489.00 |
| $8.03 | -77.9% | -$2,687.16 |
| $16.05 | -55.8% | -$1,885.32 |
| $24.07 | -33.6% | -$1,083.48 |
| $32.08 | -11.5% | -$281.64 |
| $40.10 | +10.6% | +$10.00 |
| $48.12 | +32.7% | +$10.00 |
| $56.14 | +54.8% | +$10.00 |
| $64.16 | +76.9% | +$10.00 |
| $72.18 | +99.0% | +$10.00 |
When traders use cash-secured put on ROL
Cash-secured puts on ROL earn premium while a trader waits to acquire ROL stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning ROL.
ROL thesis for this cash-secured put
The market-implied 1-standard-deviation range for ROL extends from approximately $33.43 on the downside to $39.11 on the upside. A ROL cash-secured put lets a trader earn premium while waiting to acquire ROL at the strike price; the strategy is most attractive when the trader is comfortable holding the underlying at that level and IV is rich enough to compensate for the assignment risk. Current ROL IV rank near 6.22% 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 ROL at 27.30%. As a Industrials name, ROL options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ROL-specific events.
ROL cash-secured put 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. ROL positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ROL alongside the broader basket even when ROL-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on ROL carry tail risk when realized volatility exceeds the implied move; review historical ROL earnings reactions and macro stress periods before sizing. Always rebuild the position from current ROL chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on ROL?
- A cash-secured put on ROL is the cash-secured put strategy applied to ROL (stock). The strategy is structurally neutral to slightly bullish: A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike. With ROL stock at $36.27 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed ROL chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are ROL cash-secured put max profit and max loss calculated?
- Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium. For the ROL cash-secured put priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 27.30%), the computed maximum profit is $10.00 per contract and the computed maximum loss is -$3,489.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a ROL cash-secured put?
- The breakeven for the ROL cash-secured put priced on this page is roughly $34.90 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 ROL market-implied 1-standard-deviation expected move in the same options snapshot is approximately 7.83%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a cash-secured put on ROL?
- Cash-secured puts on ROL earn premium while a trader waits to acquire ROL stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning ROL.
- How does current ROL implied volatility affect this cash-secured put?
- ROL ATM IV is at 27.30% with IV rank near 6.22%, 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.