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Best Options Strategy for PAG

By Dennis Bosmans · Updated 2026 · 2 min read · Risk disclaimer

Looking for the best options strategy for Penske Automotive Group, Inc. (PAG)? There is no single answer — the right play depends on your outlook, your risk tolerance and current implied volatility. Below, our free engine shows the highest-scoring defined-risk strategy on the live PAG option chain right now, and a simple map from your view on PAG to the strategy that fits it. Model any of them in the calculator before you trade.

About PAG

Penske Automotive Group, Inc. (PAG) is a major company in Auto & Truck Dealerships. Options traders on PAG tend to watch , since these can drive large moves in the share price.

About Penske Automotive Group, Inc.

Penske Automotive Group operates a sprawling network of automotive and commercial truck dealerships across nine countries, including the United States, United Kingdom, Germany, Italy, Japan, Canada, Australia, and New Zealand. The company's core business centers on four main segments: retail automotive sales, retail commercial truck operations, other services, and non-automotive investments. Through franchise agreements with major manufacturers, Penske sells new and used vehicles at its dealerships while offering ancillary services such as maintenance, repairs, collision work, and parts sales. Beyond traditional dealership operations, the company distributes heavy and medium-duty commercial trucks under the Freightliner and Western Star brands, imports and sells MAN trucks and buses, and handles Dennis Eagle refuse vehicles. It also deals in engines, power systems, and aftermarket products, alongside arranging third-party financing, insurance, and extended service contracts for customers.

Revenue flows from multiple streams reflecting this diverse portfolio. Vehicle sales—both new and used cars and trucks—generate substantial income, complemented by service department work and…

Today's top-scoring strategy for PAG

Our engine ranks defined-risk strategies on the live PAG chain by probability of profit and risk/reward, then surfaces the best-scoring one. It is an educational illustration, not advice.

Long Call Butterfly neutral
Price: $100.00Implied volatility: 32%Expiration: 2026-07-17 (30d)
ActionQtyTypeStrikePremium
BuyCALL$95$6.83
SellCALL$100$3.82
BuyCALL$105$1.87
P/L at expiry vs today At expiry Today ±1σ
$82$100$118
Max Profit
$394
Max Loss
−$106
Net Debit (cost)
$106
Breakeven(s)
$96.06, $103.94
Position Greeks
Δ
0.43
Γ
−1.202
Θ
1.69
ν
−3.16
Time decay (price held)

Simulation

Forward simulation of 6,000 lognormal price paths to expiration — not a historical backtest.

Win rate
33%
Mean P/L
−$2
Median
−$106
Exp. move (1σ)
9%
5th pct
−$106
25th pct
−$106
75th pct
$96
95th pct
$333

Strategy analysis

Simulated price paths (time × price)
now $100BE $96BE $104$86$101$1160d15d30d
$-100$144$388

Greeks vs price

Δ — $ P/L per $1 move in the underlying (share-equivalent exposure).
Θ — $ P/L per day from time decay.
ν — $ P/L per +1% in implied volatility.
Γ — how fast delta changes per $1 move.

Price × volatility (today)

−30%−15%IV+15%+30%
$125−$105−$103−$99−$94−$89
$120−$102−$96−$88−$82−$77
$115−$88−$77−$69−$64−$61
$110−$50−$42−$40−$41−$43
$105$10−$1−$11−$20−$28
$100$42$18$0−$13−$23
$95$3−$7−$16−$25−$32
$90−$64−$55−$52−$51−$52
$85−$98−$91−$84−$78−$75
$80−$105−$103−$100−$96−$92
$75−$106−$106−$105−$104−$101
Analyze PAG in the calculator → Share this pick ↗

Illustrative example at PAG's latest available price, computed with the same engine as the tool. Live option fills and the real IV skew refresh during US market hours.

Implied volatility

PAG typically trades with moderate implied volatility, broadly in line with other large-cap stocks. Implied volatility drives option prices, so it is worth checking the live chain before you trade.

PAG insider trading activity (SEC Form 4)

Open-market insider transactions at PAG over roughly the last six months, from SEC Form 4 filings. Open-market buys are the rarer, more telling signal — routine selling under pre-arranged plans is common, so read a net-selling figure with that in mind.

Open-market buys
0 · —
Open-market sells
2 · $496K
Net (buy − sell)
−$496K
InsiderActionSharesValueDate
Hulgrave MichelleSell1,500$258K2026-06-02
SMITH GREG CSell1,488$238K2026-05-18

Source: SEC Form 4 filings via Finnhub. Open-market purchases (P) and sales (S) only — grants, option exercises, gifts and tax withholding are excluded. Informational context, not investment advice.

Earnings & IV crush

PAG's next earnings report is due around October 28, 2026. Options that expire after it price in a binary move, so their implied volatility is elevated and usually collapses right after the announcement — an "IV crush". If your expiration falls before this date, the trade sidesteps the event.

Dividend and assignment risk

PAG pays a dividend of about 2.6% a year, so short or covered calls on it carry early-assignment risk around each ex-dividend date — in-the-money calls are most exposed just before the stock goes ex-dividend.

Key figures

Market cap
$14.4B
Beta (vs market)
0.83
52-week range
$140.12–$227.00
Short interest
12.3% of float · 4.1 days to cover

With 12.3% of PAG's float sold short, squeeze and gap risk are elevated — one reason its options can stay expensive.

How to choose an options strategy for PAG

Start with your outlook on PAG, then match it to a defined-risk structure. Here are the most common choices and when each makes sense:

Bullish

You expect PAG to rise

Buy a call for leverage with capped risk, or a bull call spread to lower the cost and breakeven when you have a target price.

Long Call → Bull Call Spread →

Bearish

You expect PAG to fall

Buy a put to profit from a decline with defined risk, or a bear put spread to cheapen the trade when you expect a measured move down.

Long Put → Bear Put Spread →

Neutral

You expect PAG to trade in a range

Sell an iron condor to collect premium while PAG stays between two strikes, or write a covered call against shares you already own.

Iron Condor → Covered Call →

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How we pick the best strategy

For each ticker we pull the live option chain, build every supported strategy around the at-the-money strikes, and score them on probability of profit, risk/reward and capital efficiency — favouring defined-risk structures where the maximum loss is known up front. Methodology →

Open PAG in the free calculator →

Frequently asked questions

What is the best options strategy for PAG?

It depends on your outlook. Bullish traders often use a long call or bull call spread on PAG; bearish traders a long put or bear put spread; neutral traders an iron condor or covered call. Our live scan above shows the current highest-scoring defined-risk play.

Are PAG options liquid enough to trade?

Penske Automotive Group, Inc. (PAG) is among the most actively-traded US options, which usually means tight bid/ask spreads and plenty of strikes and expirations — though you should always check the open interest and spread on the exact contract.

How much money do I need to trade PAG options?

Buying a single PAG call or put can cost as little as the premium (often one to a few hundred dollars), while income strategies like a cash-secured put need enough capital to buy 100 shares if assigned.

Is this financial advice?

No. Everything here is educational and uses delayed, third-party data. It is not a recommendation to trade PAG or any security. Do your own research.

What does Penske Automotive Group, Inc. do?

Penske Automotive Group, Inc. (PAG) operates in the Auto & Truck Dealerships industry. The "About Penske Automotive Group, Inc." section above gives a fuller picture of what the company does and how it earns money.

Does Penske Automotive Group, Inc. pay a dividend?

Yes — Penske Automotive Group, Inc. currently pays a dividend yielding about 2.6%. If you hold the shares (for example to write a covered call), the ex-dividend date can trigger early assignment, so check it beforehand.

When does Penske Automotive Group, Inc. next report earnings?

Penske Automotive Group, Inc.'s next earnings are expected around October 28, 2026. Implied volatility usually climbs into the report and drops sharply afterwards (IV crush) — important for any options position held over the date.

Price trend

Short term · 1M
▲ +1.6%
Mid term · 3M
▲ +28.5%
Long term · 1Y
▲ +17.1%

Tickers related to PAG

Comparing PAG with similar names can help you choose the best options strategy:

GPIGroup 1 Automotive, Inc.SAHSonic Automotive, Inc.LADLithia Motors, Inc.ANAutoNation, Inc.

Company information

Headquarters
2555 Telegraph Road, Bloomfield Hills, MI, 48302-0954, United States
Industry
Auto & Truck Dealerships
Employees
28,600
CEO
Mr. Roger S. Penske Sr.
Phone
248 648 2500
Website
www.penskeautomotive.com

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