XLE Covered Call Opportunities
Selling a covered call on XLE (XLE) means holding 100 shares and selling a call option against them. You collect the premium up front; in exchange you agree to sell your shares at the strike price if XLE closes above it at expiry.
As of 2026-07-26, XLE last traded around $59.62. Its best-scoring covered call is the $59.50 strike expiring 2026-08-21, paying $1.97 per share — a 3.31% premium ratio and a Net Score of 5.0 out of 10.
Covered Call data for XLE — cached 2026-07-26| Expiry | Strike type | Strike | Premium | Premium ratio | Net Score |
|---|
| 2026-07-31 | ATM | $59.50 | $1.08 | 1.82% | 4.3 |
| 2026-08-07 | ATM | $59.50 | $1.48 | 2.49% | 4.6 |
| 2026-08-14 | ATM | $60.00 | $1.40 | 2.33% | 4.5 |
| 2026-08-21 | ATM | $59.50 | $1.97 | 3.31% | 5.0 |
How much income does an XLE covered call generate?
One options contract covers 100 shares. At the $59.50 strike, XLE pays $1.97 per share, so a single contract collects about $197 in premium. That income is set against buying 100 shares at $59.62, roughly $5962 of capital — the 3.31% premium ratio shown above.
XLE premium ratio trend
Over the last 27 trading snapshots, XLE's covered call premium ratio has ranged from 1.51% to 4.91%, averaging 3.07%. It currently sits at 3.31%, which is above its recent average — a higher ratio means more income per dollar of stock held.
Is XLE a good covered call stock?
The Net Score weighs income against risk: how far XLE sits above its 52-week low, the premium relative to the strike, the capital required, and the absolute premium collected. A score of 8 or above marks an unusually strong risk-adjusted setup. Compare XLE against every other symbol on the ranked screener before committing capital.
XLE covered call FAQ
How much does an XLE covered call pay?
At the $59.50 strike expiring 2026-08-21, one XLE contract collects $1.97 per share — about $197 for the 100 shares one contract covers. That is a 3.31% premium ratio against roughly $5962 of capital.
Is XLE a good covered call candidate?
Kovered scores this setup 5.0 out of 10. The Net Score weighs the premium ratio against downside risk, capital required and total premium. XLE last traded at $59.62 versus a 52-week low of $42.05. Scores of 8 or above are unusually strong on a risk-adjusted basis.
What is the difference between an XLE covered call and a cash secured put?
A covered call needs you to already own 100 XLE shares and caps your upside at the strike. A cash secured put needs cash instead of shares and obliges you to buy XLE if it falls below the strike. Both collect premium up front; the covered call suits holders, the cash secured put suits buyers waiting for a lower entry.
How often is this XLE data updated?
Kovered refreshes strikes, premiums and Net Scores daily from live options data, so the XLE figures on this page reflect the most recent market close.