WIMI Bull Call Spread Strategy
WIMI (WiMi Hologram Cloud Inc.), in the Communication Services sector, (Advertising Agencies industry), listed on NASDAQ.
WiMi Hologram Cloud Inc. provides augmented reality (AR) based holographic services and products in China. It operates in three segments: AR Advertising Services, AR Entertainment, and Semiconductor Related Products and Services. The company primarily offers holographic AR advertising services and holographic AR entertainment products. Its holographic AR advertising software enables users to insert into video footages real or animated three-dimensional objects; and online holographic AR advertising solution embeds holographic AR ads into films and shows. The company's holographic AR entertainment products consist primarily of payment middleware software, game distribution platform, and holographic mixed reality software. In addition, it engages in the provision of central processing algorithm services, and provides computer chip products to enterprise customers, as well as sells comprehensive solutions for central processing algorithms and related services with software and hardware integration.
WIMI (WiMi Hologram Cloud Inc.) trades in the Communication Services sector, specifically Advertising Agencies, with a market capitalization of approximately $75.6M, a trailing P/E of 1.77, a beta of 0.33 versus the broader market, a 52-week range of 1.46-5.65, average daily share volume of 491K, a public-listing history dating back to 2020, approximately 107 full-time employees. These structural characteristics shape how WIMI stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.33 indicates WIMI has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. The trailing P/E of 1.77 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price.
What is a bull call spread on WIMI?
A bull call spread buys an at-the-money call and sells an out-of-the-money call at a higher strike for defined risk and defined reward bounded by the strike width.
Current WIMI snapshot
As of May 15, 2026, spot at $1.53, ATM IV 25.00%, IV rank 0.78%, expected move 7.17%. The bull call spread on WIMI 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 bull call spread structure on WIMI specifically: WIMI IV at 25.00% is on the cheap side of its 1-year range, which favors premium-buying structures like a WIMI bull call spread, with a market-implied 1-standard-deviation move of approximately 7.17% (roughly $0.11 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 WIMI expiries trade a higher absolute premium for lower per-day decay. Position sizing on WIMI should anchor to the underlying notional of $1.53 per share and to the trader's directional view on WIMI stock.
WIMI bull call spread setup
The WIMI bull call spread below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With WIMI near $1.53, the first option leg uses a $1.53 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed WIMI 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 WIMI shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $1.53 | N/A |
| Sell 1 | Call | $1.61 | N/A |
WIMI bull call spread 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 strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-call strike plus net debit.
WIMI bull call spread payoff curve
Modeled P&L at expiration across a range of underlying prices for the bull call spread on WIMI. 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 bull call spread on WIMI
Bull call spreads on WIMI reduce the cost of a bullish WIMI stock position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
WIMI thesis for this bull call spread
The market-implied 1-standard-deviation range for WIMI extends from approximately $1.42 on the downside to $1.64 on the upside. A WIMI bull call spread caps both the risk and the reward of a bullish position; relative to an outright long call on WIMI, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current WIMI IV rank near 0.78% 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 WIMI at 25.00%. As a Communication Services name, WIMI options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to WIMI-specific events.
WIMI bull call spread positions are structurally moderately 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. WIMI positions also carry Communication Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move WIMI alongside the broader basket even when WIMI-specific fundamentals are unchanged. Long-premium structures like a bull call spread on WIMI 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 WIMI chain quotes before placing a trade.
Frequently asked questions
- What is a bull call spread on WIMI?
- A bull call spread on WIMI is the bull call spread strategy applied to WIMI (stock). The strategy is structurally moderately bullish: A bull call spread buys an at-the-money call and sells an out-of-the-money call at a higher strike for defined risk and defined reward bounded by the strike width. With WIMI stock trading near $1.53, the strikes shown on this page are snapped to the nearest listed WIMI chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are WIMI bull call spread max profit and max loss calculated?
- Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-call strike plus net debit. For the WIMI bull call spread priced from the end-of-day chain at a 30-day expiry (ATM IV 25.00%), 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 WIMI bull call spread?
- The breakeven for the WIMI bull call spread 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 WIMI market-implied 1-standard-deviation expected move is approximately 7.17%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a bull call spread on WIMI?
- Bull call spreads on WIMI reduce the cost of a bullish WIMI stock position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
- How does current WIMI implied volatility affect this bull call spread?
- WIMI ATM IV is at 25.00% with IV rank near 0.78%, 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.