DVN Covered Call
Every out-of-the-money DVN 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 $50.00 strike at 3.4% over 36 days.
Open interest and pricing as of the close on 2026-09-16. Recomputed every morning before the open.
DVN covered call candidates — Oct 23, 2026, 36 days out
Strikes are picked by distance from the $48.44 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 |
|---|---|---|---|---|---|---|---|
| $50.00 | 3.2% | $1.67 | 3.4% | 35.0% | $46.77 | 6.7% | 233 |
| $51.00 | 5.3% | $1.35 | 2.8% | 28.2% | $47.10 | 8.1% | 3 |
| $53.00 | 9.4% | $0.84 | 1.7% | 17.6% | $47.60 | 11.1% | 21 |
What the $50.00 call pays at expiration
One illustrative strike — the richest premium in the table — against 100 shares bought at $48.44. Profit caps at $323.00 if DVN finishes above $50.00; below $46.77 the premium stops covering the loss on the stock.
| Stock at expiration | Profit / loss per share | On 100 shares |
|---|---|---|
| $36.33 | $-10.44 | $-1,044.00 |
| $39.36 | $-7.41 | $-741.25 |
| $42.39 | $-4.39 | $-438.50 |
| $45.41 | $-1.36 | $-135.75 |
| $48.44 | +$1.67 | +$167.00 |
| $51.47 | +$3.23 | +$323.00 |
| $54.50 | +$3.23 | +$323.00 |
| $57.52 | +$3.23 | +$323.00 |
| $60.55 | +$3.23 | +$323.00 |
When a covered call fits DVN
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 DVN 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 DVN loaded.
Questions
- What does a DVN covered call pay right now?
- The $50.00 call expiring Oct 23, 2026 (36 days out) collects $1.67 per share, 3.4% of the $48.44 share price, or 35.0% annualised if you repeat it.
- What is the break-even on a DVN covered call?
- Selling the $50.00 call against stock bought at $48.44 breaks even at $46.77 — the share price less the premium. Below that the premium no longer covers the loss on the shares.
- What happens if DVN closes above the strike?
- The shares are called away at $50.00. Total return is 6.7%: the premium plus the move from $48.44 up to the strike. Gains above the strike belong to the buyer.
More on DVN
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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.