STKS Long Put Strategy
STKS (The ONE Group Hospitality, Inc.), in the Consumer Cyclical sector, (Restaurants industry), listed on NASDAQ.
The ONE Group Hospitality, Inc., a hospitality company, develops, owns, operates, manages, and licenses restaurants and lounges worldwide. It operates through STK, Kona Grill, and ONE Hospitality segments. The company also provides turn-key food and beverage services for hospitality venues, including hotels, casinos, and other locations. Its hospitality food and beverage solutions include developing, managing, and operating restaurants, bars, rooftops, pools, banqueting, catering, private dining rooms, room service, and mini bars; and offers hospitality advisory and consulting services. The company operates restaurants primarily under the STK and Kona Grill brands. As of December 31, 2021, it owned, operated, managed, or licensed 60 venues, including 23 STKs and 24 Kona Grills in North America, Europe, and the Middle East, as well as 13 F&B venues in seven hotels and casinos in the United States and Europe.
STKS (The ONE Group Hospitality, Inc.) trades in the Consumer Cyclical sector, specifically Restaurants, with a market capitalization of approximately $59.7M, a beta of 1.29 versus the broader market, a 52-week range of 1.65-5.26, average daily share volume of 41K, a public-listing history dating back to 2014, approximately 11K full-time employees. These structural characteristics shape how STKS stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.29 places STKS roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a long put on STKS?
A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration.
Current STKS snapshot
As of May 15, 2026, spot at $1.90, ATM IV 125.90%, IV rank 23.49%, expected move 36.09%. The long put on STKS 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 long put structure on STKS specifically: STKS IV at 125.90% is on the cheap side of its 1-year range, which favors premium-buying structures like a STKS long put, with a market-implied 1-standard-deviation move of approximately 36.09% (roughly $0.69 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 STKS expiries trade a higher absolute premium for lower per-day decay. Position sizing on STKS should anchor to the underlying notional of $1.90 per share and to the trader's directional view on STKS stock.
STKS long put setup
The STKS long 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 STKS near $1.90, the first option leg uses a $1.90 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed STKS 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 STKS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $1.90 | N/A |
STKS long 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 the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium.
STKS long put payoff curve
Modeled P&L at expiration across a range of underlying prices for the long put on STKS. 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 long put on STKS
Long puts on STKS hedge an existing long STKS stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying STKS exposure being hedged.
STKS thesis for this long put
The market-implied 1-standard-deviation range for STKS extends from approximately $1.21 on the downside to $2.59 on the upside. A STKS long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long STKS position with one put per 100 shares held. Current STKS IV rank near 23.49% 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 STKS at 125.90%. As a Consumer Cyclical name, STKS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to STKS-specific events.
STKS long put positions are structurally bearish; 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. STKS positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move STKS alongside the broader basket even when STKS-specific fundamentals are unchanged. Long-premium structures like a long put on STKS are particularly exposed to IV-crush risk through scheduled events (earnings, FDA decisions, central-bank meetings) where IV typically contracts post-event regardless of the directional outcome. Always rebuild the position from current STKS chain quotes before placing a trade.
Frequently asked questions
- What is a long put on STKS?
- A long put on STKS is the long put strategy applied to STKS (stock). The strategy is structurally bearish: A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration. With STKS stock trading near $1.90, the strikes shown on this page are snapped to the nearest listed STKS chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are STKS long put max profit and max loss calculated?
- Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium. For the STKS long put priced from the end-of-day chain at a 30-day expiry (ATM IV 125.90%), 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 STKS long put?
- The breakeven for the STKS long 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 STKS market-implied 1-standard-deviation expected move is approximately 36.09%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a long put on STKS?
- Long puts on STKS hedge an existing long STKS stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying STKS exposure being hedged.
- How does current STKS implied volatility affect this long put?
- STKS ATM IV is at 125.90% with IV rank near 23.49%, 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.