WGS Cash-Secured Put Strategy
WGS (GeneDx Holdings Corp.), in the Healthcare sector, (Medical - Healthcare Information Services industry), listed on NASDAQ.
GeneDx Holdings Corp. is a patient centered health intelligence company. It engages in transforming healthcare by applying AI and machine learning to multidimensional, longitudinal clinical and genomic data to build dynamic models of human health and defining optimal, individualized health trajectories. The firm, through its Centrellis health intelligence platform, generates a more complete understanding of disease and wellness and provides science-driven solutions to the most pressing medical needs. The company was founded by Eric Schadt in October 2015 and is headquartered in Stamford, CT.
WGS (GeneDx Holdings Corp.) trades in the Healthcare sector, specifically Medical - Healthcare Information Services, with a market capitalization of approximately $1.16B, a beta of 2.07 versus the broader market, a 52-week range of 32.21-170.87, average daily share volume of 1.1M, a public-listing history dating back to 2020, approximately 1K full-time employees. These structural characteristics shape how WGS stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 2.07 indicates WGS has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.
What is a cash-secured put on WGS?
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 WGS snapshot
As of May 15, 2026, spot at $40.59, ATM IV 71.62%, IV rank 19.98%, expected move 20.53%. The cash-secured put on WGS 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 28-day expiry.
Why this cash-secured put structure on WGS specifically: WGS IV at 71.62% is on the cheap side of its 1-year range, which means a premium-selling WGS cash-secured put collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 20.53% (roughly $8.33 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated WGS expiries trade a higher absolute premium for lower per-day decay. Position sizing on WGS should anchor to the underlying notional of $40.59 per share and to the trader's directional view on WGS stock.
WGS cash-secured put setup
The WGS 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 WGS near $40.59, the first option leg uses a $39.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed WGS chain at a 28-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 WGS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Put | $39.00 | $2.38 |
WGS cash-secured put risk and reward
- Net Premium / Debit
- +$237.50
- Max Profit (per contract)
- $237.50
- Max Loss (per contract)
- -$3,661.50
- Breakeven(s)
- $36.63
- Risk / Reward Ratio
- 0.065
Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.
WGS cash-secured put payoff curve
Modeled P&L at expiration across a range of underlying prices for the cash-secured put on WGS. 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% | -$3,661.50 |
| $8.98 | -77.9% | -$2,764.14 |
| $17.96 | -55.8% | -$1,866.79 |
| $26.93 | -33.7% | -$969.43 |
| $35.90 | -11.5% | -$72.07 |
| $44.88 | +10.6% | +$237.50 |
| $53.85 | +32.7% | +$237.50 |
| $62.82 | +54.8% | +$237.50 |
| $71.80 | +76.9% | +$237.50 |
| $80.77 | +99.0% | +$237.50 |
When traders use cash-secured put on WGS
Cash-secured puts on WGS earn premium while a trader waits to acquire WGS stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning WGS.
WGS thesis for this cash-secured put
The market-implied 1-standard-deviation range for WGS extends from approximately $32.26 on the downside to $48.92 on the upside. A WGS cash-secured put lets a trader earn premium while waiting to acquire WGS 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 WGS IV rank near 19.98% 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 WGS at 71.62%. As a Healthcare name, WGS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to WGS-specific events.
WGS 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. WGS positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move WGS alongside the broader basket even when WGS-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on WGS carry tail risk when realized volatility exceeds the implied move; review historical WGS earnings reactions and macro stress periods before sizing. Always rebuild the position from current WGS chain quotes before placing a trade.
Frequently asked questions
- What is a cash-secured put on WGS?
- A cash-secured put on WGS is the cash-secured put strategy applied to WGS (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 WGS stock trading near $40.59, the strikes shown on this page are snapped to the nearest listed WGS chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are WGS 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 WGS cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 71.62%), the computed maximum profit is $237.50 per contract and the computed maximum loss is -$3,661.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a WGS cash-secured put?
- The breakeven for the WGS cash-secured put priced on this page is roughly $36.63 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 WGS market-implied 1-standard-deviation expected move is approximately 20.53%; 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 WGS?
- Cash-secured puts on WGS earn premium while a trader waits to acquire WGS stock at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning WGS.
- How does current WGS implied volatility affect this cash-secured put?
- WGS ATM IV is at 71.62% with IV rank near 19.98%, 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.