SMHI Cash-Secured Put Strategy
SMHI (SEACOR Marine Holdings Inc.), in the Industrials sector, (Marine Shipping industry), listed on NYSE.
SEACOR Marine Holdings Inc. provides marine and support transportation services to offshore oil, natural gas, and windfarm facilities worldwide. Its offshore support and specialty vessels deliver cargo and personnel to offshore installations, including wind farms; handle anchors and mooring equipment required to tether rigs to the seabed; assist in placing them on location and moving them between regions; provide construction, well work-over, maintenance, and decommissioning support; and carry and launch equipment used underwater in drilling and well installation, maintenance, inspection, and repair, as well as offer accommodations for technicians and specialists, safety support, and emergency response services. As of December 31, 2021, the company operated a fleet of 81 support and specialty vessels, of which 60 were owned or leased-in, 20 were joint-ventured, and 1 was managed on behalf of unaffiliated third parties. It serves integrated oil companies, large independent oil and natural gas exploration and production companies, and emerging independent companies, as well as windfarm operations and installation contractors. The company was founded in 1989 and is headquartered in Houston, Texas.
SMHI (SEACOR Marine Holdings Inc.) trades in the Industrials sector, specifically Marine Shipping, with a market capitalization of approximately $196.7M, a beta of 1.13 versus the broader market, a 52-week range of 4.695-8.17, average daily share volume of 114K, a public-listing history dating back to 2017, approximately 1K full-time employees. These structural characteristics shape how SMHI stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.13 places SMHI 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 SMHI?
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 SMHI snapshot
As of May 15, 2026, spot at $7.20, ATM IV 130.60%, IV rank 22.87%, expected move 37.44%. The cash-secured put on SMHI 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 SMHI specifically: SMHI IV at 130.60% is on the cheap side of its 1-year range, which means a premium-selling SMHI cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 37.44% (roughly $2.70 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 SMHI expiries trade a higher absolute premium for lower per-day decay. Position sizing on SMHI should anchor to the underlying notional of $7.20 per share and to the trader's directional view on SMHI stock.
SMHI cash-secured put setup
The SMHI 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 SMHI near $7.20, the first option leg uses a $6.84 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SMHI 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 SMHI shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $6.84 | N/A |
SMHI 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.
SMHI cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on SMHI. 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 SMHI
Cash-secured puts on SMHI earn premium while a trader waits to acquire SMHI stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning SMHI.
SMHI thesis for this cash-secured put
The market-implied 1-standard-deviation range for SMHI extends from approximately $4.50 on the downside to $9.90 on the upside. A SMHI cash-secured put lets a trader earn premium while waiting to acquire SMHI 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 SMHI IV rank near 22.87% 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 SMHI at 130.60%. As a Industrials name, SMHI options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SMHI-specific events.
SMHI 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. SMHI positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SMHI alongside the broader basket even when SMHI-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on SMHI carry tail risk when realized volatility exceeds the implied move; review historical SMHI earnings reactions and macro stress periods before sizing. Always rebuild the position from current SMHI chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on SMHI?
- A cash-secured put on SMHI is the cash-secured put strategy applied to SMHI (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 SMHI stock trading near $7.20, the strikes shown on this page are snapped to the nearest listed SMHI chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are SMHI 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 SMHI cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 130.60%), 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 SMHI cash-secured put?
- The breakeven for the SMHI 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 SMHI market-implied 1-standard-deviation expected move is approximately 37.44%; 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 SMHI?
- Cash-secured puts on SMHI earn premium while a trader waits to acquire SMHI stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning SMHI.
- How does current SMHI implied volatility affect this cash-secured put?
- SMHI ATM IV is at 130.60% with IV rank near 22.87%, 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.