ARKK Covered Call
Every out-of-the-money ARKK call expiring Oct 23, 2026, priced from the settled chain: what it pays, what it yields, and where the trade stops making money. The richest right now is the $85.50 strike at 3.6% over 36 days.
Open interest and pricing as of the close on 2026-09-16. Recomputed every morning before the open.
ARKK covered call candidates — Oct 23, 2026, 36 days out
Strikes are picked by distance from the $83.18 share price, not by delta — the published chain carries premiums and open interest, not greeks, and inventing a delta here would be inventing data. Premium is the bid/ask midpoint where both sides quote, otherwise the last trade. The chain artifact publishes the six nearest expirations, so this is the longest one listed — 36 days out. Annualising anything shorter than a week says more about compounding arithmetic than about the trade, so those cells stay blank.
| Strike | % OTM | Premium | Yield | Annualised | Break-even | If assigned | OI |
|---|---|---|---|---|---|---|---|
| $85.50 | 2.8% | $2.98 | 3.6% | 36.3% | $80.20 | 6.4% | 4 |
| $87.50 | 5.2% | $2.50 | 3.0% | 30.5% | $80.68 | 8.2% | 0 |
| $91.00 | 9.4% | $1.42 | 1.7% | 17.3% | $81.76 | 11.1% | 0 |
What the $85.50 call pays at expiration
One illustrative strike — the richest premium in the table — against 100 shares bought at $83.18. Profit caps at $530.00 if ARKK finishes above $85.50; below $80.20 the premium stops covering the loss on the stock.
| Stock at expiration | Profit / loss per share | On 100 shares |
|---|---|---|
| $62.39 | $-17.82 | $-1,781.50 |
| $67.58 | $-12.62 | $-1,261.62 |
| $72.78 | $-7.42 | $-741.75 |
| $77.98 | $-2.22 | $-221.88 |
| $83.18 | +$2.98 | +$298.00 |
| $88.38 | +$5.30 | +$530.00 |
| $93.58 | +$5.30 | +$530.00 |
| $98.78 | +$5.30 | +$530.00 |
| $103.98 | +$5.30 | +$530.00 |
When a covered call fits ARKK
A covered call sells someone else the right to buy your shares at the strike. It pays you today and caps your upside there, so it suits a holding you are content to own flat and content to sell at the strike — not one you expect to run.
The premium is compensation for implied volatility. Rich implied volatility pays more, and usually pays more because the market expects a move; a high annualised number on a name about to report earnings is a warning as often as an opportunity. Check the ARKK expected move and the open-interest walls before assuming the strike is far enough away.
Full mechanics, assignment and rolling are in the covered call guide; to model a different strike or a multi-leg version, open the profit calculator with ARKK loaded.
Questions
- What does a ARKK covered call pay right now?
- The $85.50 call expiring Oct 23, 2026 (36 days out) collects $2.98 per share, 3.6% of the $83.18 share price, or 36.3% annualised if you repeat it.
- What is the break-even on a ARKK covered call?
- Selling the $85.50 call against stock bought at $83.18 breaks even at $80.20 — the share price less the premium. Below that the premium no longer covers the loss on the shares.
- What happens if ARKK closes above the strike?
- The shares are called away at $85.50. Total return is 6.4%: the premium plus the move from $83.18 up to the strike. Gains above the strike belong to the buyer.
More on ARKK
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Educational, not investment advice. Options involve risk. Open interest is reported with a one-session lag by OCC, so these levels describe positioning as of the last settled session, not live intraday flow.