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Analog Devices — Your statistical edge in selling ADI options, quantified
Analog Devices (ADI) operates in the Information Technology sector and has actively traded listed options. ADI options are mildly overpriced — IV 30d 39.2% vs 38.6% realized vol (+0.6pp). VRP sits at the 47th percentile. The spread is positive but narrow, making high-conviction premium selling harder to justify. See Premium Selling for the full setup.
VRP in Context
Volatility risk premium = implied vol minus realized volatility. Positive VRP = options are overpriced.
Options are priced above recent realized movement, which can give premium sellers a statistical edge. A positive VRP means you're selling options for more than they're statistically worth.
Look at the VRP trend and percentile to decide if the edge is strong enough to trade.
VRP = IV 30d − RV 20d (annualized, in percentage points)ORATS 30-day implied volatility, ORATS close-to-close 20-day realized volatility
ORATS IV data + ORATS close-to-close HV 20d
VRP is backward-looking for RV and forward-looking for IV. A positive VRP does not guarantee profitable premium selling — it measures the current pricing gap, not future outcomes.
90-day VRP history chart, percentile vs 252-day range, and VRP-optimized strategy matching — in active development.
This data is free for all users. No paywall — just not built yet.
Quantitative screening, not investment advice. Verify with your broker. Disclaimer
With a VRP of just +0.6pp, Analog Devices's options are only slightly overpriced relative to realized movement. Implied volatility at 39.2% barely exceeds realized vol of 38.6%, leaving minimal cushion for premium sellers. In thin-VRP environments, transaction costs and slippage can erode much of the theoretical edge. If trading at all, use the smallest position sizes, widest strike distances, and shortest time frames that still collect meaningful premium.
Analog Devices's VRP of +0.6pp measures the difference between what the options market expects (39.2% implied) and what is actually occurring (38.6% realized). Premium sellers profit when this gap is positive — they collect more in premium than the stock's movement costs them. VRP varies over time and across stocks, which is why monitoring it daily helps traders identify when conditions shift in or out of their favor.
Analog Devices's VRP has been relatively stable over recent trading days, fluctuating around +0.6pp without a clear directional trend. Stable VRP environments are workable for premium sellers — the edge is predictable and strategies can be sized consistently. The key risk in stable VRP periods is complacency: a sudden catalyst (earnings, macro event, sector rotation) can compress or expand VRP rapidly, so maintaining defined-risk structures and stop-loss discipline remains important even when conditions appear steady.
Analog Devices's VRP is currently +0.6pp, derived from the difference between implied volatility (39.2%) and realized volatility (38.6%). This modestly positive VRP indicates a small edge for sellers, though conditions could be stronger.
Marginally — Analog Devices's VRP of +0.6pp is slim. The theoretical edge exists but may be eroded by transaction costs. Consider only the highest-probability setups.
IV Rank tells you if Analog Devices's options are expensive compared to their own history — currently 38.7%. VRP tells you if they're expensive compared to what the stock ACTUALLY does — currently +0.6pp. Together they provide a complete picture — IV Rank for historical context, VRP for current edge.