YieldCove
Create free account
All free tools

Covered call calculator

Estimate premium income, breakeven and capped profit when selling a call against shares you own.

Premium income
$199.34
Return if called
4.07%
Breakeven
$96.01

Inputs

Expires Fri, Oct 23

Results

Premium income
$199.34
Return if called
4.07%
Total return if the shares are called away at the strike: premium plus the gain (or loss) from cost basis to strike.
Static return
2.03%
Static annualized
24.75%
If-called annualized
49.58%
Return if called scaled to a year — simple, never compounded, since it is a one-shot outcome.
Max gain if called
$399.34
Breakeven
$96.01
Cost basis minus the premium: the share price at expiration where the trade nets zero.
Premium / day
$6.64
Net premium spread over the days to expiration — the fairest way to compare expiries.
Downside protection
2%
Premium ÷ current price: the drop the premium absorbs before the shares are underwater on this trade.
Max loss
-$9,600.66
Worst case if the stock falls to $0 by expiration (puts are floored at zero).

Payoff at expiration

Net P&L by underlying price

Probabilities & Greeks

IV 15.9%· from premium

Probability

Probability of profit
80.8%
Chance the trade is profitable at expiration (price beyond breakeven), assuming a lognormal price with no drift.
Prob. called away
49.1%
Chance the stock closes above the call strike and shares are called away.
Expected move (1σ)
± $4.57
One standard-deviation move by expiration: spot × IV × √(days/365). Price stays within ±1σ ~68% of the time.
1σ price range
$95.43 – $104.57

Greeksshort call, from your side of the trade

Position delta (Δ)
-0.54
Share-equivalent exposure of the short position, per share. Positive for a short put, negative for a short call.
Theta / day
$3.63
Premium decay you collect per calendar day, all else equal.
Gamma (Γ)
-0.0869
Position gamma: how fast delta moves per $1 in the underlying. Negative for a short option.
Vega / 1%
-$11.38
Position value change per 1-point move in implied volatility — negative for a short option: rising IV hurts.

Fair value and edge need a market IV — add one under Advanced. With an IV backed out of your own premium they would read ≈ $0 by construction.

Probabilities assume a lognormal price with zero drift; Greeks and fair value use Black-Scholes at the risk-free rate. Estimates only — not a guarantee.

Scenario analysis

MovePriceP&LReturn
-20%$80-$1,601-16.3%
-10%$90-$601-6.1%
-5%$95-$101-1%
Breakeven (-4%)$96.01$00%
Flat$100$3994.1%
5%$105$3994.1%
10%$110$3994.1%
20%$120$3994.1%

Net P&L at expiration if the underlying moves by each amount from the current price (or strike). The breakeven row shows the exact move that flips the trade.

Common questions

What does a covered call include?
One standard contract covers 100 shares. Enter the share cost, call strike, premium, fees and time to expiry. The estimate combines the share and option results.
Is the premium my total profit?
No. A fall in the shares can exceed the premium received. Gains above the strike are given up if the shares are called away. Taxes and dividends are not included.

The free YieldCove newsletter

Get The Wheelhouse in your inbox

Three briefings a week — market context, practical wheel-strategy ideas and YieldCove updates. Free to read. Unsubscribe anytime.

Educational only — not financial advice.