ACI Collar Strategy
ACI (Albertsons Companies, Inc.), in the Consumer Defensive sector, (Grocery Stores industry), listed on NYSE.
Albertsons Companies, Inc., through its subsidiaries, engages in the operation of food and drug stores in the United States. The company's food and drug retail stores offer grocery products, general merchandise, health and beauty care products, pharmacy, fuel, and other items and services. It also manufactures and processes food products for sale in stores. As of February 26, 2022, it operated 2,276 stores under various banners, including Albertsons, Safeway, Vons, Pavilions, Randalls, Tom Thumb, Carrs, Jewel-Osco, Acme, Shaw's, Star Market, United Supermarkets, Market Street, Haggen, Kings Food Markets, and Balducci's Food Lovers Market; and 1,722 pharmacies, 1,317 in-store branded coffee shops, 402 adjacent fuel centers, 22 distribution centers, and 20 manufacturing facilities, as well as various digital platforms. The company was founded in 1860 and is headquartered in Boise, Idaho.
ACI (Albertsons Companies, Inc.) trades in the Consumer Defensive sector, specifically Grocery Stores, with a market capitalization of approximately $8.18B, a trailing P/E of 38.78, a beta of 0.26 versus the broader market, a 52-week range of 15.545-22.78, average daily share volume of 6.4M, a public-listing history dating back to 2020, approximately 108K full-time employees. These structural characteristics shape how ACI stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.26 indicates ACI has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. The trailing P/E of 38.78 is on the rich side, which tends to correlate with higher earnings-window IV expansion as the market debates whether forward growth supports the multiple. ACI pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on ACI?
A collar pairs long stock with a protective out-of-the-money put financed by a short out-of-the-money call, capping both tails of the position around the current spot.
Current ACI snapshot
As of May 15, 2026, spot at $16.49, ATM IV 31.00%, IV rank 49.63%, expected move 8.89%. The collar on ACI below is built from the same end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 28-day expiry.
Why this collar structure on ACI specifically: IV regime affects collar pricing on both sides; mid-range ACI IV at 31.00% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 8.89% (roughly $1.47 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated ACI expiries trade a higher absolute premium for lower per-day decay. Position sizing on ACI should anchor to the underlying notional of $16.49 per share and to the trader's directional view on ACI stock.
ACI collar setup
The ACI collar below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With ACI near $16.49, the first option leg uses a $17.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ACI chain at a 28-day expiry; the cross-strike IV skew is reflected directly in the per-leg values rather than approximated. Quantity sizing assumes one contract per option leg (or 100 ACI shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $16.49 | long |
| Sell 1 | Call | $17.00 | $0.33 |
| Buy 1 | Put | $16.00 | $0.35 |
ACI collar risk and reward
- Net Premium / Debit
- -$1,651.50
- Max Profit (per contract)
- $48.50
- Max Loss (per contract)
- -$51.50
- Breakeven(s)
- $16.51
- Risk / Reward Ratio
- 0.942
Max profit roughly equals short-call strike minus cost basis plus net premium; max loss roughly equals cost basis minus long-put strike minus net premium. Breakeven shifts by the net premium.
ACI collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on ACI. Each row is one sampled price point from the computed payoff curve; the full curve uses 200 price points internally before being summarized into 10 rows here.
| Underlying Price | % From Spot | P&L at Expiration |
|---|---|---|
| $0.01 | -99.9% | -$51.50 |
| $3.65 | -77.8% | -$51.50 |
| $7.30 | -55.7% | -$51.50 |
| $10.94 | -33.6% | -$51.50 |
| $14.59 | -11.5% | -$51.50 |
| $18.23 | +10.6% | +$48.50 |
| $21.88 | +32.7% | +$48.50 |
| $25.52 | +54.8% | +$48.50 |
| $29.17 | +76.9% | +$48.50 |
| $32.81 | +99.0% | +$48.50 |
When traders use collar on ACI
Collars on ACI hedge an existing long ACI stock position; the long put sets a floor while the short call finances it, often run as a near-zero-cost hedge during expected volatility windows.
ACI thesis for this collar
The market-implied 1-standard-deviation range for ACI extends from approximately $15.02 on the downside to $17.96 on the upside. A ACI collar hedges an existing long ACI position with a protective put while financing the put cost via a short call; when the premiums roughly offset, the collar acts as a near-zero-cost insurance band around the current spot. Current ACI IV rank near 49.63% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on ACI should anchor more to the directional view and the expected-move geometry. As a Consumer Defensive name, ACI options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ACI-specific events.
ACI collar positions are structurally neutral (protective); the modeled P&L assumes European-style exercise at expiration and ignores early assignment, transaction costs, dividends paid before expiry on the stock leg (when present), and the bid-ask spread on the listed chain. ACI positions also carry Consumer Defensive sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ACI alongside the broader basket even when ACI-specific fundamentals are unchanged. Always rebuild the position from current ACI chain quotes before placing a trade.
Frequently asked questions
- What is a collar on ACI?
- A collar on ACI is the collar strategy applied to ACI (stock). The strategy is structurally neutral (protective): A collar pairs long stock with a protective out-of-the-money put financed by a short out-of-the-money call, capping both tails of the position around the current spot. With ACI stock trading near $16.49, the strikes shown on this page are snapped to the nearest listed ACI chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are ACI collar max profit and max loss calculated?
- Max profit roughly equals short-call strike minus cost basis plus net premium; max loss roughly equals cost basis minus long-put strike minus net premium. Breakeven shifts by the net premium. For the ACI collar priced from the end-of-day chain at a 30-day expiry (ATM IV 31.00%), the computed maximum profit is $48.50 per contract and the computed maximum loss is -$51.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a ACI collar?
- The breakeven for the ACI collar priced on this page is roughly $16.51 at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current ACI market-implied 1-standard-deviation expected move is approximately 8.89%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on ACI?
- Collars on ACI hedge an existing long ACI stock position; the long put sets a floor while the short call finances it, often run as a near-zero-cost hedge during expected volatility windows.
- How does current ACI implied volatility affect this collar?
- ACI ATM IV is at 31.00% with IV rank near 49.63%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.