Interesting LDOS Put And Call Options For December 2026

Leidos Holdings (LDOS) at $186.89 offers two income-oriented option strategies: selling the $180 put (bid $14.20) yields a net cost basis of $165.80 and, with the strike ~4% out‑of‑the‑money, a 64% modeled chance to expire worthless and a 7.89% return on cash (7.82% annualized); selling a covered $200 call (bid $16.70) against shares would cap upside at $200 (~7% premium) but produces a 15.95% total return if called at the December 2026 expiry and carries a 49% chance to expire worthless, representing an 8.94% upfront yield (8.86% annualized). Implied volatilities are ~29–30% versus a trailing 12‑month realized volatility of 26%, suggesting modest option premium relative to recent realized moves; StockOptionsChannel will track changing odds and contract histories. These setups present yield enhancement with the usual trade‑offs of assignment risk and capped upside for investors weighing entry price versus income.

Analysis

The article outlines two income-oriented option strategies for Leidos Holdings (LDOS) at a quoted stock price of $186.89. Selling the $180 put (bid $14.20) sets an effective purchase basis of $165.80 and is ~4% out‑of‑the‑money; the analytics model a 64% probability the put will expire worthless and, if so, the collected premium equates to a 7.89% return on the cash commitment (7.82% annualized).

For investors who already own or plan to buy the shares, selling the $200 covered call (bid $16.70) would cap proceeds at $200 and yield a total return of 15.95% if the position is called at the December 2026 expiration; that $200 strike is ~7% out‑of‑the‑money and the model shows a 49% chance it expires worthless, producing an 8.94% upfront premium (8.86% annualized). Implied volatilities are 29–30% versus a trailing 12‑month realized volatility of 26%, indicating option premiums are modestly rich relative to recent realized moves.

Key tradeoffs are assignment risk and capped upside for the covered call, and the cash commitment and potential long stock ownership for the put seller. The published returns exclude broker commissions and dividends; StockOptionsChannel will track changing odds and contract histories for monitoring execution timing and evolving probabilities.

Key Decisions for Investors

• Consider selling the $180 put only if you are willing to own LDOS at the $165.80 effective basis and are comfortable with the modeled 64% chance of retention, as the strategy delivers a 7.89% yield on committed cash (adjust for commissions and dividends)
• If you already hold or plan to buy shares, consider the $200 covered call to generate an 8.94% premium and a 15.95% capped return to December 2026, but be prepared to forgo upside above $200 given the 49% chance the contract expires worthless
• Use position sizing and monitor implied vs realized volatility and the StockOptionsChannel odds chart, and explicitly account for commissions and dividend impact when sizing these yield‑enhancement trades