Based on the trade details, here's the margin requirement for selling this NVDA put:

Trade Summary

Margin Requirement

For naked (uncovered) equity put options, the margin requirement is typically the greater of:

1. 20% Rule: 20% of the underlying value minus the out-of-the-money amount, plus the option premium

2. 10% Rule: 10% of the strike price plus the option premium

Assuming NVDA is trading near current levels (~$120–$130), the per-contract margin would be roughly:

• 20% Rule: (20% × ~$12,500) − $0 OTM + $8 = ~$2,508/contract
• 10% Rule: (10% × $12,000) + $8 = ~$1,208/contract

The higher applies, so approximately $2,500 per contract.

For 10 contracts: ~$25,000 total margin requirement

This is an estimate — actual margin depends on NVDA's exact price at execution, your broker's specific methodology, and whether you hold offsetting positions. If this is a cash-secured put, the requirement would be the full strike value: $120,000 ($120 strike × 100 shares × 10 contracts).

The IRR calculation for selling this NVDA put:

Trade Assumptions

IRR Calculation

Since the option stays OTM and expires worthless, the full premium is profit:

• Return on margin: $80 / $25,000 = 0.32% over 29 days
• Annualized IRR: (1 + 0.0032)^(365/29) − 1 = ~4.10%

If held as a cash-secured put with $120,000 tied up:

• Return: $80 / $120,000 = 0.067% over 29 days
• Annualized IRR: ~0.84%

Both are modest returns given the deep out-of-the-money nature of the strike and the minimal premium.

Let me look up NVDA's current price to give you accurate numbers.NVDA is trading at ~$210.

Executability with $80K Equity + $20K Cash

For 10 contracts of the $120 strike put:

CSP (Cash-Secured Put): Requires $120,000 in cash. You have only $20K cash — not executable as CSP.

Naked Put: Requires margin approval. Let's calculate the actual margin:

• 20% Rule: (20% × $210 × 100 × 10) − (($210 − $120) × 100 × 10) + $80 = $42,000 − $90,000 + $80 = -$47,920 → floors at the 10% rule

• 10% Rule: (10% × $120 × 100 × 10) + $80 = $12,080

Margin required: $12,080 (the greater of the two).

Your buying power: $80K equity × 2 (Reg T) = $160K total, minus current holdings. Assuming the $80K equity is fully utilized, you'd need ~$12K in available margin — likely executable with a $100K portfolio, but brokers typically require a minimum equity of $10K–$25K for naked options approval.

Margin Call Drop Level

A margin call on naked puts triggers when the maintenance margin requirement exceeds your available equity. The margin requirement grows as NVDA falls:

With $100K total portfolio and ~$80K in equity holdings, you'd likely face a margin call around $125–$130, when margin required (~$20K) starts pressing against available cash and borrowing capacity. At the strike of $120, you'd be deep in assignment territory, and the margin would balloon to the full $120K notional if assigned.

Key risk: the premium is only $80 while the worst-case obligation is $120,000. This is picking up pennies in front of a steamroller.

Now I have the data I need. Let me pull out the relevant numbers:

Aug 14, 2026 $120 Put: Bid $0.05 / Mid $0.08 / Ask $0.11 → premium ~$0.08 → $8/contract

~6-month option at $100 strike: The nearest ~6-month expiry is Jan 15, 2027 (183 days, ~6 months) with a $100 put: Bid $0.66 / Mid ~$0.68 / Ask $0.71.

IRR Comparison: NVDA @ ~$210

The 6-month $100 put has a substantially higher IRR — roughly 3.4× the annualized return. You also get more downside cushion (52% OTM vs 43%) and collect significantly more premium ($68 vs $8 per contract).

The trade-off: capital is tied up for 6 months instead of 29 days, but the return on deployed margin is far superior.

Let me pull the relevant strikes across all available expirations out to 1 year.

I need to extract the data from the option chain I already have. Let me organize it. The chain goes out to Jun 16, 2028 (~2 years), so I'll filter up to ~July 2027.

Let me compute this properly:## NVDA $100 Put — IRR Across Expirations (Up to 1Y)

Based on NVDA @ ~$210. Margin assumed at 20% of strike notional: $2,000/contract.

Key Takeaways

• Highest IRRs: Jun 17 '27 (9.4%), Jul 20 '26 (14.7%), Jul 27 '26 (10.5%). The ultrashort Jul 20 expiry looks anomalous due to a wide, thin market — real fills at mid are unlikely.
• Premium/day peaks at longer tenors — $0.51/day for Jun '27 vs $0.28 for Aug 14. More total dollars collected even though annualized IRR compresses only modestly.
• The sweet spot is 6–11 months: Jan '27 (6.9%), Mar '27 (8.4%), Jun '27 (9.4%). IRR actually improves with tenor here — the market is pricing in elevated long-dated tail risk premium.
• Ultra-short (<2 weeks) unreliable: bid/ask spreads are enormous relative to mid; many show $0.00 bids so fills are theoretical.

Bottom line: The Jun 17 '27 $100 put delivers the best combination of realizable IRR (9.4%) and absolute premium ($172/contract) on a 20% margin basis, while remaining 52% OTM.

NVDA $110 Put — IRR Across Expirations (Up to 1Y)

NVDA @ ~$210. Margin: 20% of $110 strike = $2,200/contract. Strike is 48% OTM.

Strike $100 vs $110 — Side by Side (Key Expiries)

At every tenor beyond 2 months, the $110 strike delivers meaningfully higher IRR — roughly 2 percentage points more — despite being closer to the money (48% OTM vs 52%). The market is paying disproportionately more for the additional risk, making the risk/reward more favorable at $110.

NVDA Dec 18 '26 Put — Strike Scan ($90 to $210)

NVDA @ ~$210 | 155 DTE | Margin: 20% of strike notional

Observations

IV curve slopes downward from 64% at $90 to 43% at $210 — classic volatility skew. Deep OTM puts command much higher implied vol, but that's offset by the tiny absolute premiums.

IRR scales sharply — every $5 closer to the money roughly adds 5–10 percentage points of IRR. The $120 strike (43% OTM) hits 11.4%, doubling the $90 strike return. By $150 (29% OTM) you're at 30% IRR.

The trade-off: higher IRR comes with meaningfully more risk. A 29% OTM cushion means NVDA only needs to correct to $150 for the put to be at-the-money — not an extreme move for a high-beta semi stock over 5 months. The $90–$110 zone (48–57% OTM) gives you a genuine crash buffer while still paying 5–8% annualized.