TTAN Covered Call Strategy
TTAN (ServiceTitan, Inc.), in the Technology sector, (Software - Application industry), listed on NASDAQ.
ServiceTitan, Inc. engages in the collection of field service activities required to install, maintain, and service the infrastructure and systems of residences and commercial buildings. The company was founded by Ara Mahdessian and Vahe Kuzoyan on June 8, 2008 and is headquartered in Glendale, CA.
TTAN (ServiceTitan, Inc.) trades in the Technology sector, specifically Software - Application, with a market capitalization of approximately $5.35B, a beta of -0.23 versus the broader market, a 52-week range of 54.17-131.33, average daily share volume of 1.2M, a public-listing history dating back to 2024, approximately 3K full-time employees. These structural characteristics shape how TTAN stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of -0.23 indicates TTAN 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 covered call on TTAN?
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 TTAN snapshot
As of May 15, 2026, spot at $58.70, ATM IV 73.80%, IV rank 51.34%, expected move 21.16%. The covered call on TTAN 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 63-day expiry.
Why this covered call structure on TTAN specifically: TTAN IV at 73.80% is mid-range versus its 1-year history, so the credit collected on a TTAN covered call sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 21.16% (roughly $12.42 on the underlying). The 63-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated TTAN expiries trade a higher absolute premium for lower per-day decay. Position sizing on TTAN should anchor to the underlying notional of $58.70 per share and to the trader's directional view on TTAN stock.
TTAN covered call setup
The TTAN 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 TTAN near $58.70, the first option leg uses a $60.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed TTAN chain at a 63-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 TTAN shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $58.70 | long |
| Sell 1 | Call | $60.00 | $6.40 |
TTAN covered call risk and reward
- Net Premium / Debit
- -$5,230.00
- Max Profit (per contract)
- $770.00
- Max Loss (per contract)
- -$5,229.00
- Breakeven(s)
- $52.30
- Risk / Reward Ratio
- 0.147
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.
TTAN covered call payoff curve
Modeled P&L at expiration across a range of underlying prices for the covered call on TTAN. 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% | -$5,229.00 |
| $12.99 | -77.9% | -$3,931.22 |
| $25.97 | -55.8% | -$2,633.44 |
| $38.94 | -33.7% | -$1,335.66 |
| $51.92 | -11.5% | -$37.88 |
| $64.90 | +10.6% | +$770.00 |
| $77.88 | +32.7% | +$770.00 |
| $90.85 | +54.8% | +$770.00 |
| $103.83 | +76.9% | +$770.00 |
| $116.81 | +99.0% | +$770.00 |
When traders use covered call on TTAN
Covered calls on TTAN are an income strategy run on existing TTAN stock positions; traders typically sell calls at 25-35 delta with 30-45 days to expiration to balance premium against upside cap.
TTAN thesis for this covered call
The market-implied 1-standard-deviation range for TTAN extends from approximately $46.28 on the downside to $71.12 on the upside. A TTAN covered call collects premium on an existing long TTAN position, trading off upside above the short call strike for immediate income; the short strike selection should reflect the trader's view on whether TTAN will breach that level within the expiration window. Current TTAN IV rank near 51.34% is mid-range against its 1-year distribution, so the IV signal is neutral; the covered call thesis on TTAN should anchor more to the directional view and the expected-move geometry. As a Technology name, TTAN options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to TTAN-specific events.
TTAN 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. TTAN positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move TTAN alongside the broader basket even when TTAN-specific fundamentals are unchanged. Short-premium structures like a covered call on TTAN carry tail risk when realized volatility exceeds the implied move; review historical TTAN earnings reactions and macro stress periods before sizing. Always rebuild the position from current TTAN chain quotes before placing a trade.
Frequently asked questions
- What is a covered call on TTAN?
- A covered call on TTAN is the covered call strategy applied to TTAN (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 TTAN stock trading near $58.70, the strikes shown on this page are snapped to the nearest listed TTAN chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are TTAN 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 TTAN covered call priced from the end-of-day chain at a 30-day expiry (ATM IV 73.80%), the computed maximum profit is $770.00 per contract and the computed maximum loss is -$5,229.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a TTAN covered call?
- The breakeven for the TTAN covered call priced on this page is roughly $52.30 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 TTAN market-implied 1-standard-deviation expected move is approximately 21.16%; 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 TTAN?
- Covered calls on TTAN are an income strategy run on existing TTAN 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 TTAN implied volatility affect this covered call?
- TTAN ATM IV is at 73.80% with IV rank near 51.34%, 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.