Income Strategy Analysis
Cash-Secured Put Calculator: AAPL
Professional scenario analysis and payoff visualization for cash-secured put strategies.
Cash-Secured Put Scenario Analysis: AAPL (At Expiration)
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| Price at Expiry |
| Put Intrinsic Value |
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| Return on Capital |
* Click the percentage values to edit scenarios.
Payoff Profile At Expiration: AAPL
What this calculator does
The Cash-Secured Put Calculator estimates the income, breakeven, and potential assignment costs of selling put options. It identifies the total cash required to "secure" the position and visualizes the payoff profile at expiration.
How the strategy works
A cash-secured put involves selling a put option while simultaneously holding enough cash to buy the shares if assigned. You receive an upfront premium. If the stock stays above the strike price, you keep the premium. If it falls below, you use your cash to buy the stock at the strike price.
Key Formulas
Breakeven = Strike Price - Premium Received
Max Profit = Total Premium Received
When traders use this strategy
Traders use this to generate income on cash or to acquire a stock they like at a "discount" (the strike price minus the premium received).
Risks to understand
The main risk is the stock price crashing. You are obligated to buy the shares at the strike price even if the market value is near zero. While "secured" by cash, the potential for capital loss is substantial.
Frequently Asked Questions
Is this the same as a naked put?
No. A naked put is sold on margin. A cash-secured put is backed by the full amount of cash needed to purchase the stock.
What is the maximum profit?
Your maximum gain is strictly limited to the premium you received when selling the put.
What happens if assigned?
The cash in your account is used to purchase 100 shares per contract. Your new cost basis is the strike price minus the premium already collected.
This calculator is for educational purposes only and does not provide financial advice.