FHN Covered Call
Every out-of-the-money FHN call expiring Oct 16, 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 $25.00 strike at 1.4% over 29 days.
Open interest and pricing as of the close on 2026-09-16. Recomputed every morning before the open.
FHN covered call candidates — Oct 16, 2026, 29 days out
Strikes are picked by distance from the $23.93 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 — 29 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 |
|---|---|---|---|---|---|---|---|
| $25.00 | 4.5% | $0.33 | 1.4% | 17.1% | $23.61 | 5.8% | 168 |
| $26.00 | 8.7% | $0.18 | 0.7% | 9.2% | $23.76 | 9.4% | 295 |
What the $25.00 call pays at expiration
One illustrative strike — the richest premium in the table — against 100 shares bought at $23.93. Profit caps at $139.50 if FHN finishes above $25.00; below $23.61 the premium stops covering the loss on the stock.
| Stock at expiration | Profit / loss per share | On 100 shares |
|---|---|---|
| $17.95 | $-5.66 | $-565.75 |
| $19.44 | $-4.16 | $-416.19 |
| $20.94 | $-2.67 | $-266.63 |
| $22.43 | $-1.17 | $-117.06 |
| $23.93 | +$0.33 | +$32.50 |
| $25.43 | +$1.40 | +$139.50 |
| $26.92 | +$1.40 | +$139.50 |
| $28.42 | +$1.40 | +$139.50 |
| $29.91 | +$1.40 | +$139.50 |
When a covered call fits FHN
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 FHN 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 FHN loaded.
Questions
- What does a FHN covered call pay right now?
- The $25.00 call expiring Oct 16, 2026 (29 days out) collects $0.33 per share, 1.4% of the $23.93 share price, or 17.1% annualised if you repeat it.
- What is the break-even on a FHN covered call?
- Selling the $25.00 call against stock bought at $23.93 breaks even at $23.61 — the share price less the premium. Below that the premium no longer covers the loss on the shares.
- What happens if FHN closes above the strike?
- The shares are called away at $25.00. Total return is 5.8%: the premium plus the move from $23.93 up to the strike. Gains above the strike belong to the buyer.
More on FHN
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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.