VICR Cash-Secured Put Strategy
VICR (Vicor Corporation), in the Technology sector, (Hardware, Equipment & Parts industry), listed on NASDAQ.
Vicor Corporation, together with its subsidiaries, designs, develops, manufactures, and markets modular power components and power systems for converting electrical power in the United States, Europe, the Asia Pacific, and internationally. The company offers a range of brick-format DC-DC converters; complementary components; and input and output voltage, and output power products, as well as electrical and mechanical accessories. It also provides custom power systems solutions. The company serves independent manufacturers of electronic devices, original equipment manufacturers, and their contract manufacturers in the aerospace and aviation, defense electronics, industrial automation and equipment, instrumentation, test equipment, solid state lighting, telecommunications and networking infrastructure, and vehicles and transportation markets. Vicor Corporation was incorporated in 1981 and is headquartered in Andover, Massachusetts.
VICR (Vicor Corporation) trades in the Technology sector, specifically Hardware, Equipment & Parts, with a market capitalization of approximately $13.95B, a trailing P/E of 102.88, a beta of 2.34 versus the broader market, a 52-week range of 40.54-315, average daily share volume of 907K, a public-listing history dating back to 1990, approximately 1K full-time employees. These structural characteristics shape how VICR stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 2.34 indicates VICR has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. The trailing P/E of 102.88 is on the rich side, which tends to correlate with higher earnings-window IV expansion as the market debates whether forward growth supports the multiple.
What is a cash-secured put on VICR?
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 VICR snapshot
As of May 15, 2026, spot at $274.93, ATM IV 99.00%, IV rank 52.85%, expected move 28.38%. The cash-secured put on VICR 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 VICR specifically: VICR IV at 99.00% is mid-range versus its 1-year history, so the credit collected on a VICR cash-secured put sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 28.38% (roughly $78.03 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 VICR expiries trade a higher absolute premium for lower per-day decay. Position sizing on VICR should anchor to the underlying notional of $274.93 per share and to the trader's directional view on VICR stock.
VICR cash-secured put setup
The VICR 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 VICR near $274.93, the first option leg uses a $260.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed VICR 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 VICR shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $260.00 | $24.65 |
VICR cash-secured put risk and reward
- Net Premium / Debit
- +$2,465.00
- Max Profit (per contract)
- $2,465.00
- Max Loss (per contract)
- -$23,534.00
- Breakeven(s)
- $235.35
- Risk / Reward Ratio
- 0.105
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
VICR cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on VICR. 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% | -$23,534.00 |
| $60.80 | -77.9% | -$17,455.26 |
| $121.58 | -55.8% | -$11,376.51 |
| $182.37 | -33.7% | -$5,297.77 |
| $243.16 | -11.6% | +$780.97 |
| $303.95 | +10.6% | +$2,465.00 |
| $364.73 | +32.7% | +$2,465.00 |
| $425.52 | +54.8% | +$2,465.00 |
| $486.31 | +76.9% | +$2,465.00 |
| $547.10 | +99.0% | +$2,465.00 |
When traders use cash-secured put on VICR
Cash-secured puts on VICR earn premium while a trader waits to acquire VICR stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning VICR.
VICR thesis for this cash-secured put
The market-implied 1-standard-deviation range for VICR extends from approximately $196.90 on the downside to $352.96 on the upside. A VICR cash-secured put lets a trader earn premium while waiting to acquire VICR 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 VICR IV rank near 52.85% is mid-range against its 1-year distribution, so the IV signal is neutral; the cash-secured put thesis on VICR should anchor more to the directional view and the expected-move geometry. As a Technology name, VICR options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to VICR-specific events.
VICR 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. VICR positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move VICR alongside the broader basket even when VICR-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on VICR carry tail risk when realized volatility exceeds the implied move; review historical VICR earnings reactions and macro stress periods before sizing. Always rebuild the position from current VICR chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on VICR?
- A cash-secured put on VICR is the cash-secured put strategy applied to VICR (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 VICR stock trading near $274.93, the strikes shown on this page are snapped to the nearest listed VICR chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are VICR 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 VICR cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 99.00%), the computed maximum profit is $2,465.00 per contract and the computed maximum loss is -$23,534.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a VICR cash-secured put?
- The breakeven for the VICR cash-secured put priced on this page is roughly $235.35 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 VICR market-implied 1-standard-deviation expected move is approximately 28.38%; 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 VICR?
- Cash-secured puts on VICR earn premium while a trader waits to acquire VICR stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning VICR.
- How does current VICR implied volatility affect this cash-secured put?
- VICR ATM IV is at 99.00% with IV rank near 52.85%, 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.