SCSC Cash-Secured Put Strategy
SCSC (ScanSource, Inc.), in the Technology sector, (Technology Distributors industry), listed on NASDAQ.
ScanSource, Inc. distributes technology products and solutions in the United States, Canada, and internationally. It operates through two segments, Specialty Technology Solutions and Modern Communications & Cloud. The Specialty Technology Solutions segment provides a portfolio of solutions primarily for enterprise mobile computing, data capture, barcode printing, point of sale (POS), payments, networking, electronic physical security, cyber security, and other technologies. This segment offers data capture and POS solutions to automate the collection, processing, and communication of information for commercial and industrial applications, including retail sales, distribution, shipping, inventory control, materials handling, warehouse management, and health care applications. It also provides electronic physical security products, such as identification, access control, video surveillance, intrusion-related, and wireless and networking infrastructure products. The Modern Communications & Cloud segment offers a portfolio of solutions primarily for communications technologies and services comprising voice, video conferencing, wireless, data networking, cable, unified communications and collaboration, cloud, and technology services, as well as IP networks and other solutions for various vertical markets, such as education, healthcare, and government.
SCSC (ScanSource, Inc.) trades in the Technology sector, specifically Technology Distributors, with a market capitalization of approximately $853.8M, a trailing P/E of 12.20, a beta of 1.28 versus the broader market, a 52-week range of 33.76-46.64, average daily share volume of 221K, a public-listing history dating back to 1994, approximately 2K full-time employees. These structural characteristics shape how SCSC stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.28 places SCSC roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a cash-secured put on SCSC?
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.
Current SCSC snapshot
As of May 15, 2026, spot at $42.52, ATM IV 35.60%, IV rank 3.80%, expected move 10.21%. The cash-secured put on SCSC 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 cash-secured put structure on SCSC specifically: SCSC IV at 35.60% is on the cheap side of its 1-year range, which means a premium-selling SCSC cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 10.21% (roughly $4.34 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 SCSC expiries trade a higher absolute premium for lower per-day decay. Position sizing on SCSC should anchor to the underlying notional of $42.52 per share and to the trader's directional view on SCSC stock.
SCSC cash-secured put setup
The SCSC cash-secured put below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With SCSC near $42.52, the first option leg uses a $40.39 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SCSC 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 SCSC shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $40.39 | N/A |
SCSC cash-secured put 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 premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
SCSC cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on SCSC. 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 cash-secured put on SCSC
Cash-secured puts on SCSC earn premium while a trader waits to acquire SCSC stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning SCSC.
SCSC thesis for this cash-secured put
The market-implied 1-standard-deviation range for SCSC extends from approximately $38.18 on the downside to $46.86 on the upside. A SCSC cash-secured put lets a trader earn premium while waiting to acquire SCSC 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 SCSC IV rank near 3.80% 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 SCSC at 35.60%. As a Technology name, SCSC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SCSC-specific events.
SCSC 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. SCSC positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SCSC alongside the broader basket even when SCSC-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on SCSC carry tail risk when realized volatility exceeds the implied move; review historical SCSC earnings reactions and macro stress periods before sizing. Always rebuild the position from current SCSC chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on SCSC?
- A cash-secured put on SCSC is the cash-secured put strategy applied to SCSC (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 SCSC stock trading near $42.52, the strikes shown on this page are snapped to the nearest listed SCSC chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are SCSC 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 SCSC cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 35.60%), 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 SCSC cash-secured put?
- The breakeven for the SCSC cash-secured put 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 SCSC market-implied 1-standard-deviation expected move is approximately 10.21%; 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 SCSC?
- Cash-secured puts on SCSC earn premium while a trader waits to acquire SCSC stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning SCSC.
- How does current SCSC implied volatility affect this cash-secured put?
- SCSC ATM IV is at 35.60% with IV rank near 3.80%, 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.