THCH Long Put Strategy
THCH (TH International Limited), in the Consumer Cyclical sector, (Restaurants industry), listed on NASDAQ.
TH International Limited operates Tim Hortons coffee shops in mainland China, Hong Kong, and Macau. As of September 28, 2022, it had approximately 460 coffee shops across the People's Republic of China. The company was incorporated in 2018 and is based in Shanghai, the People's Republic of China. TH International Limited is a subsidiary of Tim Hortons Inc.
THCH (TH International Limited) trades in the Consumer Cyclical sector, specifically Restaurants, with a market capitalization of approximately $65.7M, a beta of 0.52 versus the broader market, a 52-week range of 1.685-3.25, average daily share volume of 6K, a public-listing history dating back to 2021, approximately 2K full-time employees. These structural characteristics shape how THCH stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.52 indicates THCH has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure.
What is a long put on THCH?
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 THCH snapshot
As of May 15, 2026, spot at $2.02, ATM IV 247.20%, IV rank 66.62%, expected move 70.87%. The long put on THCH 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 THCH specifically: THCH IV at 247.20% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 70.87% (roughly $1.43 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 THCH expiries trade a higher absolute premium for lower per-day decay. Position sizing on THCH should anchor to the underlying notional of $2.02 per share and to the trader's directional view on THCH stock.
THCH long put setup
The THCH 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 THCH near $2.02, the first option leg uses a $2.02 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed THCH 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 THCH shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $2.02 | N/A |
THCH 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.
THCH long put payoff curve
Modeled P&L at expiration across a range of underlying prices for the long put on THCH. 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 THCH
Long puts on THCH hedge an existing long THCH stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying THCH exposure being hedged.
THCH thesis for this long put
The market-implied 1-standard-deviation range for THCH extends from approximately $0.59 on the downside to $3.45 on the upside. A THCH long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long THCH position with one put per 100 shares held. Current THCH IV rank near 66.62% is mid-range against its 1-year distribution, so the IV signal is neutral; the long put thesis on THCH should anchor more to the directional view and the expected-move geometry. As a Consumer Cyclical name, THCH options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to THCH-specific events.
THCH 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. THCH positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move THCH alongside the broader basket even when THCH-specific fundamentals are unchanged. Long-premium structures like a long put on THCH 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 THCH chain quotes before placing a trade.
Frequently asked questions
- What is a long put on THCH?
- A long put on THCH is the long put strategy applied to THCH (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 THCH stock trading near $2.02, the strikes shown on this page are snapped to the nearest listed THCH chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are THCH 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 THCH long put priced from the end-of-day chain at a 30-day expiry (ATM IV 247.20%), 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 THCH long put?
- The breakeven for the THCH 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 THCH market-implied 1-standard-deviation expected move is approximately 70.87%; 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 THCH?
- Long puts on THCH hedge an existing long THCH stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying THCH exposure being hedged.
- How does current THCH implied volatility affect this long put?
- THCH ATM IV is at 247.20% with IV rank near 66.62%, 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.