ASTS Collar Strategy
ASTS (AST SpaceMobile, Inc.), in the Technology sector, (Communication Equipment industry), listed on NASDAQ.
AST SpaceMobile, Inc. operates space-based cellular broadband network for mobile phones. Its SpaceMobile service provides mobile broadband services for users traveling in and out of areas without terrestrial mobile services on land, at sea, or in flight. The company is headquartered in Midland, Texas.
ASTS (AST SpaceMobile, Inc.) trades in the Technology sector, specifically Communication Equipment, with a market capitalization of approximately $30.43B, a beta of 2.60 versus the broader market, a 52-week range of 22.47-129.89, average daily share volume of 15.4M, a public-listing history dating back to 2019, approximately 578 full-time employees. These structural characteristics shape how ASTS stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 2.60 indicates ASTS has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.
What is a collar on ASTS?
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 ASTS snapshot
As of May 15, 2026, spot at $84.06, ATM IV 115.54%, IV rank 75.45%, expected move 33.12%. The collar on ASTS 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 ASTS specifically: IV regime affects collar pricing on both sides; elevated ASTS IV at 115.54% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 33.12% (roughly $27.84 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 ASTS expiries trade a higher absolute premium for lower per-day decay. Position sizing on ASTS should anchor to the underlying notional of $84.06 per share and to the trader's directional view on ASTS stock.
ASTS collar setup
The ASTS 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 ASTS near $84.06, the first option leg uses a $88.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ASTS 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 ASTS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $84.06 | long |
| Sell 1 | Call | $88.00 | $9.78 |
| Buy 1 | Put | $80.00 | $8.13 |
ASTS collar risk and reward
- Net Premium / Debit
- -$8,241.00
- Max Profit (per contract)
- $559.00
- Max Loss (per contract)
- -$241.00
- Breakeven(s)
- $82.41
- Risk / Reward Ratio
- 2.320
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.
ASTS collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on ASTS. 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 | -100.0% | -$241.00 |
| $18.60 | -77.9% | -$241.00 |
| $37.18 | -55.8% | -$241.00 |
| $55.77 | -33.7% | -$241.00 |
| $74.35 | -11.6% | -$241.00 |
| $92.94 | +10.6% | +$559.00 |
| $111.52 | +32.7% | +$559.00 |
| $130.11 | +54.8% | +$559.00 |
| $148.69 | +76.9% | +$559.00 |
| $167.28 | +99.0% | +$559.00 |
When traders use collar on ASTS
Collars on ASTS hedge an existing long ASTS 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.
ASTS thesis for this collar
The market-implied 1-standard-deviation range for ASTS extends from approximately $56.22 on the downside to $111.90 on the upside. A ASTS collar hedges an existing long ASTS 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 ASTS IV rank near 75.45% sits in the upper third of its 1-year distribution, which historically reverts; this raises the bar for premium-buying structures and lowers it for premium-selling structures on ASTS at 115.54%. As a Technology name, ASTS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ASTS-specific events.
ASTS 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. ASTS positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ASTS alongside the broader basket even when ASTS-specific fundamentals are unchanged. Always rebuild the position from current ASTS chain quotes before placing a trade.
Frequently asked questions
- What is a collar on ASTS?
- A collar on ASTS is the collar strategy applied to ASTS (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 ASTS stock trading near $84.06, the strikes shown on this page are snapped to the nearest listed ASTS chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are ASTS 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 ASTS collar priced from the end-of-day chain at a 30-day expiry (ATM IV 115.54%), the computed maximum profit is $559.00 per contract and the computed maximum loss is -$241.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a ASTS collar?
- The breakeven for the ASTS collar priced on this page is roughly $82.41 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 ASTS market-implied 1-standard-deviation expected move is approximately 33.12%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on ASTS?
- Collars on ASTS hedge an existing long ASTS 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 ASTS implied volatility affect this collar?
- ASTS ATM IV is at 115.54% with IV rank near 75.45%, which is elevated relative to its 1-year range. Premium-selling structures (covered call, cash-secured put, iron condor) generally look more attractive when IV rank is high; premium-buying structures (long call, long put, debit spreads) are more expensive in that regime.