BB Covered Call
Every out-of-the-money BB 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 $8.00 strike at 7.6% over 36 days.
Open interest and pricing as of the close on 2026-09-16. Recomputed every morning before the open.
BB covered call candidates — Oct 23, 2026, 36 days out
Strikes are picked by distance from the $7.64 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 |
|---|---|---|---|---|---|---|---|
| $8.00 | 4.7% | $0.58 | 7.6% | 77.0% | $7.06 | 12.3% | 93 |
| $8.50 | 11.3% | $0.32 | 4.2% | 42.5% | $7.32 | 15.4% | 13 |
What the $8.00 call pays at expiration
One illustrative strike — the richest premium in the table — against 100 shares bought at $7.64. Profit caps at $94.00 if BB finishes above $8.00; below $7.06 the premium stops covering the loss on the stock.
| Stock at expiration | Profit / loss per share | On 100 shares |
|---|---|---|
| $5.73 | $-1.33 | $-133.00 |
| $6.21 | $-0.85 | $-85.25 |
| $6.69 | $-0.38 | $-37.50 |
| $7.16 | +$0.10 | +$10.25 |
| $7.64 | +$0.58 | +$58.00 |
| $8.12 | +$0.94 | +$94.00 |
| $8.59 | +$0.94 | +$94.00 |
| $9.07 | +$0.94 | +$94.00 |
| $9.55 | +$0.94 | +$94.00 |
When a covered call fits BB
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 BB 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 BB loaded.
Questions
- What does a BB covered call pay right now?
- The $8.00 call expiring Oct 23, 2026 (36 days out) collects $0.58 per share, 7.6% of the $7.64 share price, or 77.0% annualised if you repeat it.
- What is the break-even on a BB covered call?
- Selling the $8.00 call against stock bought at $7.64 breaks even at $7.06 — the share price less the premium. Below that the premium no longer covers the loss on the shares.
- What happens if BB closes above the strike?
- The shares are called away at $8.00. Total return is 12.3%: the premium plus the move from $7.64 up to the strike. Gains above the strike belong to the buyer.
More on BB
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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.