SSRM Covered Call Strategy
SSRM (SSR Mining Inc.), in the Basic Materials sector, (Gold industry), listed on NASDAQ.
SSR Mining Inc., together with its subsidiaries, engages in the acquisition, exploration, development, and operation of precious metal resource properties in Turkey and the Americas. The company explores for gold, silver, copper, lead, and zinc deposits. Its projects include the Çöpler Gold mine located in Erzincan, Turkey; the Marigold mine located in Humboldt County, Nevada, the United States; the Seabee Gold Operation located in Saskatchewan, Canada; and the Puna Operations in Jujuy, Argentina. The company was formerly known as Silver Standard Resources Inc. and changed its name to SSR Mining Inc. in August 2017. SSR Mining Inc. was incorporated in 1946 and is based in Denver, Colorado.
SSRM (SSR Mining Inc.) trades in the Basic Materials sector, specifically Gold, with a market capitalization of approximately $7.21B, a trailing P/E of 31.00, a beta of 0.86 versus the broader market, a 52-week range of 10.47-36.52, average daily share volume of 4.1M, a public-listing history dating back to 1996, approximately 2K full-time employees. These structural characteristics shape how SSRM stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.86 places SSRM 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 SSRM?
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 SSRM snapshot
As of May 15, 2026, spot at $31.27, ATM IV 60.30%, IV rank 40.96%, expected move 17.29%. The covered call on SSRM 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 SSRM specifically: SSRM IV at 60.30% is mid-range versus its 1-year history, so the credit collected on a SSRM covered call sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 17.29% (roughly $5.41 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 SSRM expiries trade a higher absolute premium for lower per-day decay. Position sizing on SSRM should anchor to the underlying notional of $31.27 per share and to the trader's directional view on SSRM stock.
SSRM covered call setup
The SSRM 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 SSRM near $31.27, the first option leg uses a $33.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SSRM 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 SSRM shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $31.27 | long |
| Sell 1 | Call | $33.00 | $1.65 |
SSRM covered call risk and reward
- Net Premium / Debit
- -$2,962.00
- Max Profit (per contract)
- $338.00
- Max Loss (per contract)
- -$2,961.00
- Breakeven(s)
- $29.62
- Risk / Reward Ratio
- 0.114
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.
SSRM covered call payoff curve
Modeled P&L at expiration across a range of underlying prices for the covered call on SSRM. 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% | -$2,961.00 |
| $6.92 | -77.9% | -$2,269.71 |
| $13.84 | -55.8% | -$1,578.43 |
| $20.75 | -33.6% | -$887.14 |
| $27.66 | -11.5% | -$195.85 |
| $34.57 | +10.6% | +$338.00 |
| $41.49 | +32.7% | +$338.00 |
| $48.40 | +54.8% | +$338.00 |
| $55.31 | +76.9% | +$338.00 |
| $62.23 | +99.0% | +$338.00 |
When traders use covered call on SSRM
Covered calls on SSRM are an income strategy run on existing SSRM stock positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.
SSRM thesis for this covered call
The market-implied 1-standard-deviation range for SSRM extends from approximately $25.86 on the downside to $36.68 on the upside. A SSRM covered call collects premium on an existing long SSRM position, trading off upside above the short call strike for immediate income; the short strike selection should reflect the trader's view on whether SSRM will breach that level within the expiration window. Current SSRM IV rank near 40.96% is mid-range against its 1-year distribution, so the IV signal is neutral; the covered call thesis on SSRM should anchor more to the directional view and the expected-move geometry. As a Basic Materials name, SSRM options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SSRM-specific events.
SSRM 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. SSRM positions also carry Basic Materials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SSRM alongside the broader basket even when SSRM-specific fundamentals are unchanged. Short-premium structures like a covered call on SSRM carry tail risk when realized volatility exceeds the implied move; review historical SSRM earnings reactions and macro stress periods before sizing. Always rebuild the position from current SSRM chain quotes before placing a trade.
Frequently asked questions
- What is a covered call on SSRM?
- A covered call on SSRM is the covered call strategy applied to SSRM (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 SSRM stock trading near $31.27, the strikes shown on this page are snapped to the nearest listed SSRM chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are SSRM 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 SSRM covered call priced from the end-of-day chain at a 30-day expiry (ATM IV 60.30%), the computed maximum profit is $338.00 per contract and the computed maximum loss is -$2,961.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a SSRM covered call?
- The breakeven for the SSRM covered call priced on this page is roughly $29.62 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 SSRM market-implied 1-standard-deviation expected move is approximately 17.29%; 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 SSRM?
- Covered calls on SSRM are an income strategy run on existing SSRM 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 SSRM implied volatility affect this covered call?
- SSRM ATM IV is at 60.30% with IV rank near 40.96%, 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.