CMI wheel: cash-secured put & covered-call yields
Cummins Inc. · Industrials · $455.40 close on Nov 12, 2026
What the Nov 12, 2026 close says about CMI
At 37.1% implied volatility, the options market is pricing a one-standard-deviation move of about $53.06 (11.7%) in CMI by Dec 18, 2026, 36 days out.
Selling the $430 put (−0.28Δ) for $10.21 means assignment would leave a cost basis of $419.79, 7.8% below the $455.40 close.
The 127-day 0.30Δ put pays 2.2× the premium of the 36-day one for 3.5× the time — more premium per day on the 36-day contract ($0.284 vs $0.176).
At 0.30Δ on the Dec 18 expiry the put yields 2.37% on its strike and the call 1.81% on spot: puts pay 1.3× what calls do on CMI this session.
Moving down to the $420 put (−0.22Δ) buys 2.2% more room below spot and keeps 65% of the 0.30Δ premium.
Open interest in the stored window totals 3,058 contracts; the largest single line is the $440 put expiring Mar 19 with 494 (16.2% of the window).
CMI goes ex-dividend on Nov 20, 2026 ($2.20 declared), inside the Dec 18 covered-call window. A short call that is in the money before an ex-date can be assigned early.
By options volume CMI ranks #268 of 679 names in our universe.
Near-the-money options volume (113) is in line with its 5-session average.
The builder re-quotes every leg from the live chain when it opens; tracking is free to start.
Cash-secured puts on CMI
| Target | Strike | Δ | Last trade | Premium / contract | Cash secured | Period yield | Annualized | Breakeven | OI | Volume |
|---|---|---|---|---|---|---|---|---|---|---|
| 0.30Δ | $430 | −0.28 | $10.21 Nov 12 | $1,021.00 | $43,000 | 2.37% | 24.1% | $419.79 | 46 | 7 |
| 0.20Δ | $420 | −0.22 | $6.65 Nov 12 | $665.00 | $42,000 | 1.58% | 16.1% | $413.35 | 46 | 3 |
Snapshot #9339 · session 2026-11-12 · captured 22:01 UTC · 15-min delayed · yield = premium ÷ strike · annualized = yield × 365 ÷ 36
| Target | Strike | Δ | Last trade | Premium / contract | Cash secured | Period yield | Annualized | Breakeven | OI | Volume |
|---|---|---|---|---|---|---|---|---|---|---|
| 0.30Δ | $420 | −0.30 | $22.36 Nov 12 | $2,236.00 | $42,000 | 5.32% | 15.3% | $397.64 | 111 | 20 |
| 0.20Δ | $380 | −0.18 | $12.20 Nov 12 | $1,220.00 | $38,000 | 3.21% | 9.2% | $367.80 | 41 | 2 |
Snapshot #9339 · session 2026-11-12 · captured 22:01 UTC · 15-min delayed · yield = premium ÷ strike · annualized = yield × 365 ÷ 127
Covered calls on CMI
| Target | Strike | Δ | Last trade | Premium / contract | Yield on spot | Annualized | If called | If called, ann. | OI | Volume |
|---|---|---|---|---|---|---|---|---|---|---|
| 0.30Δ | $490 | 0.27 | $8.23 Nov 12 | $823.00 | 1.81% | 18.3% | 9.40% | 95.4% | 14 | 1 |
| 0.20Δ | $500 | 0.22 | $6.00 Nov 12 | $600.00 | 1.32% | 13.4% | 11.11% | 112.7% | 223 | 11 |
Snapshot #9339 · session 2026-11-12 · captured 22:01 UTC · 15-min delayed · yield = premium ÷ spot · if called = (premium + strike − spot) ÷ spot · annualized × 365 ÷ 36
| Target | Strike | Δ | Last trade | Premium / contract | Yield on spot | Annualized | If called | If called, ann. | OI | Volume |
|---|---|---|---|---|---|---|---|---|---|---|
| 0.30Δ | Unavailable1 | |||||||||
| 0.20Δ | $550 | 0.22 | $11.00 Nov 12 | $1,100.00 | 2.42% | 6.9% | 23.19% | 66.6% | 57 | 10 |
Snapshot #9339 · session 2026-11-12 · captured 22:01 UTC · 15-min delayed · yield = premium ÷ spot · if called = (premium + strike − spot) ÷ spot · annualized × 365 ÷ 127
CMI volatility, dividends and liquidity
- Implied volatility (ATM, ≈30 days)
- 37.1%session 2026-11-12
- IV rank / IV percentile
- Unavailable2
- Next earnings
- Unavailable3
- Next ex-dividend
- Ex-div Nov 20, 2026 · $2.20 declaredchecked Nov 9, 2026
- Open interest, stored window
- 3,058 contractssession 2026-11-12
- Largest open-interest line
- $440 put · Mar 19 · 494
- Bid/ask spread
- Unavailable4
- Options liquidity rank
- #268 of 679 optionable names by options volume
How these numbers are made
One end-of-day snapshot per session from a 15-minute-delayed feed. A premium is a contract’s last trade, used only if it printed that session, sits above intrinsic value and is in order with its neighbours; deltas are the feed’s own. Expiries are the first at least 30 and 60 days out, and nothing under 30 days is annualized. Not investment advice. Full methodology.
- No contract near 0.30Δ traded this session
- We are building our own daily implied-volatility history (20 of 252 sessions so far); IV rank and percentile need a full year of it.
- Our data provider does not license announced earnings dates, and we do not publish estimates.
- Our data feed carries last trades, not live bid/ask quotes, so we cannot show a spread.