Last month, shorting 10% OTM put options in Palantir, Inc. (PLTR) yielded 4.24% over one month. The $160.00 put option had a $6.78 premium. PLTR closed above the strike price, resulting in no assignment, allowing the investor to keep the income. Palantir’s put option premiums remain high, offering another opportunity for a short-put play.

For example, the Dec. 19, 2025, expiry period shows a 9.78% lower put option at the $155.00 strike price with a $4.75 premium. An investor could earn a 3.535% yield by securing $15,500 in collateral. While this yield is lower than last month, it still offers a high return with a low delta ratio of -0.26.

Despite the upside potential, there are downside risks if PLTR falls below the strike prices. Mitigating factors include calculating the breakeven point after accounting for short-put income and potentially selling covered calls. The investor could also consider shorting more OTM puts to help offset any potential losses. Overall, selling short PLTR puts with strike prices below the current price may be a successful strategy.

Read more at Barchart: Make a 3.5% Yield In One Month By Shorting Cash-Secured OTM Palantir Put Options