USB February 2027 Options Market Launches

Investors in US Bancorp (USB) can now trade new options with a February 2027 expiration. The put contract at a $60.00 strike price has a current bid of $3.65, potentially allowing investors to purchase shares at an effective cost basis of $56.35. This represents a nearly 3% discount from the current share price of $61.64, with a 61% likelihood that the contract could expire worthless.

On the call side, the $62.50 strike has a bid of $4.60. If investors sell a covered call against shares bought at the current price, they can anticipate a total return of 8.86% if the stock is called away at expiration. The chances of that call contract expiring worthless are estimated at 48%, which could yield a 7.46% additional return for investors, or 12.05% annualized.

The put contract’s implied volatility stands at 27%, while the call contract’s is at 28%. Actual trailing twelve-month volatility is calculated at 22%, considering recent trading data.