| TICKER | STOCK | LC | SP | HP | SC | SS | GAP | RM | HP OTM% | STATUS | CTRS | IC | NOTIONAL | URGENCY |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| NOW → | $94.43 | 80 | 110 | 105 | 0 | $108.93 | 5 | 1.18x | -11.2% | ITM | 10 | $27,850 | $94,430 | REPAIR PLAN (45d) |
| # | NEW HP | EXPIRY | DTE | OTM% | ASK | ROLL CR/SH | ROLL TOTAL | HEDGE/YR | STRESS/YR | SAVED/YR | GAP | ML+ | PAYBACK | PB+INC | NEW RM | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 | 85 | Aug 21 | 109d | 10.0% | $7.10 | $6.10 | $6,100 | $23,775 | $24,545 | $90,591 | 25 | $20,000 | 3mo | 2mo | 1.90x | PASS |
| 2 | 80 | Aug 21 | 109d | 15.3% | $5.30 | $7.90 | $7,900 | $17,748 | $30,238 | $96,619 | 30 | $25,000 | 3mo | 3mo | 2.08x | PASS |
| 3 | 75 | Aug 21 | 109d | 20.6% | $3.90 | $9.30 | $9,300 | $13,060 | $37,605 | $101,307 | 35 | $30,000 | 4mo | 3mo | 2.26x | PASS |
| 4 | 70 | Aug 21 | 109d | 25.9% | $2.75 | $10.45 | $10,450 | $9,209 | $23,775 | $105,158 | 40 | $35,000 | 4mo | 4mo | 2.44x | PASS |
| SCENARIO | CC INCOME | HEDGE COST | VERDICT |
|---|---|---|---|
| CC at SS $109, B $0.05 | $562/yr | $23,775/yr | DEFICIT $1,934/mo |
| CC at MID $104 0.6σ, B $2.30 | $25,875/yr | $23,775/yr | SELF-FUNDING |
| AT 20% DRAWDOWN (stock $94.43 → $75.54, hedge $24,545/yr) | |||
| CC at SS vs stressed | $562/yr | $24,545/yr | DEFICIT $1,999/mo |
| CC at MID vs stressed | $25,875/yr | $24,545/yr | SELF-FUNDING |
HP roll-downs do not change Safe Strike. SS = Max(LC+ND, (LC+SP+ND)/2). HP is not in the formula.
Monthly hedge cost prorated: (30/DTE) × (Ask × Shares). Payback = ML increase / Annual savings.
EST = ask price estimated as mid × 1.10 (10% safety buffer). Verify with live prices before executing.
Always prefer longest viable DTE for repair rolls (fewer rolls/yr = lower annual cost).