June 2028 Options Now Available For Rivian Automotive (RIVN)

Stock Options Channel outlines two RIVN option strategies: selling the $17 put (bid $5.45) would obligate purchase at $17 but nets an effective cost basis of $11.55 versus the current $18.65, sits about 9% out‑of‑the‑money with a 79% probability of expiring worthless and would represent a 32.06% return on the cash commitment (12.80% annualized) if it does; alternatively, buying RIVN at $18.65 and selling the June 2028 $22 call (bid $7.65) would cap upside at $22 but deliver a 58.98% total return if called, with the $22 strike ~18% out‑of‑the‑money, a 30% chance to expire worthless and a 41.02% premium boost (16.38% annualized) if it does. Implied volatility is elevated (85% on the put, 73% on the call) versus a 61% trailing‑12‑month realized volatility, and the provider will track and publish changing odds and contract trading history on its website.

Analysis

The article outlines two actionable option strategies on Rivian (RIVN) with explicit payoffs and probabilities: selling the $17 put at a $5.45 bid would obligate purchase at $17 but nets an effective cost basis of $11.55 versus the current $18.65 share price, is ~9% out-of-the-money, and the provider estimates a 79% chance it will expire worthless, producing a 32.06% return on the cash commitment (12.80% annualized) if it does. The covered-call example shows buying shares at $18.65 and selling the June 2028 $22 call at a $7.65 bid, which caps gross upside at $22 but yields a 58.98% total return if called, with the strike ~18% out-of-the-money and a 30% chance to expire worthless; the covered-call premium is described as a 41.02% boost (16.38% annualized).

Implied volatility is elevated relative to recent realized volatility: the put’s IV is 85%, the call’s IV is 73% versus a trailing 12-month realized volatility of 61%, indicating option premiums are rich and compensating sellers for uncertainty. The provider will track changing odds and contract trading history on its site and labels the yield uplift metrics as “YieldBoost,” which highlights the trade-off between premium income and assignment/forgone upside over a long-dated horizon.

Primary risks are assignment and concentrated downside for the put seller, and capped upside for the covered-call seller if RIVN rallies above $22; both strategies require investors to be comfortable owning the shares or being called away and to monitor IV/odds movements and firm fundamentals as recommended in the article.

Key Decisions for Investors

• Consider selling the $17 put only if you are willing to own RIVN at an effective $11.55 basis and accept assignment risk, since the trade offers a 32.06% cash-commitment return and a 79% estimated chance of expiring worthless
• If you want equity exposure with income and are willing to cap upside, consider buying at $18.65 and selling the June 2028 $22 call to realize a potential 58.98% total return if called, while acknowledging a 30% chance the call expires worthless
• Monitor implied volatility (85% put, 73% call vs 61% realized) and the provider’s tracked odds; prefer initiating positions after IV contraction or size them modestly because premiums are elevated and may compress
• Maintain position-sizing discipline or hedges and watch for fundamental catalysts or large downside moves below $17, since assignment or missed upside are the principal risks noted in the article