BYRN Collar Strategy
BYRN (Byrna Technologies Inc.), in the Industrials sector, (Aerospace & Defense industry), listed on NASDAQ.
Byrna Technologies Inc. (BYRN) specializes in less-lethal defense technology, focusing on the creation and manufacturing of non-lethal munitions and associated security equipment. The company's primary offerings include a line of Byrna-branded handheld personal protection instruments, such as the Byrna SD and Byrna SD .68 caliber models, which are specifically designed for both civilians and private security professionals. Complementing these devices, Byrna also provides related products like Byrna HD magazines, shoulder-fired launchers, and various projectiles. Its comprehensive catalog further extends to a range of accessories and safety gear, notably the Byrna Banshee, Byrna Shield, compressed carbon dioxide cartridges, aiming systems, holsters, and branded apparel. Incorporated in 2005 and headquartered in Andover, Massachusetts, the firm conducts its business in the United States and South Africa. It previously operated as Security Devices International, Inc., changing its name to Byrna Technologies Inc. in March 2020.
BYRN (Byrna Technologies Inc.) trades in the Industrials sector, specifically Aerospace & Defense, with a market capitalization of approximately $130.0M, a trailing P/E of 14.71, a beta of 1.80 versus the broader market, a 52-week range of 4.84-34.3, average daily share volume of 520K, a public-listing history dating back to 2006, approximately 167 full-time employees. These structural characteristics shape how BYRN stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.80 indicates BYRN 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 BYRN?
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 BYRN snapshot
As of June 30, 2026, spot at $6.69, ATM IV 106.70%, IV rank 21.20%, expected move 30.59%. The collar on BYRN 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 17-day expiry.
Why this collar structure on BYRN specifically: IV regime affects collar pricing on both sides; compressed BYRN IV at 106.70% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 30.59% (roughly $2.05 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated BYRN expiries trade a higher absolute premium for lower per-day decay. Position sizing on BYRN should anchor to the underlying notional of $6.69 per share and to the trader's directional view on BYRN stock.
BYRN collar setup
The BYRN 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 BYRN near $6.69, the first option leg uses a $7.02 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed BYRN chain at a 17-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 BYRN shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $6.69 | long |
| Sell 1 | Call | $7.02 | N/A |
| Buy 1 | Put | $6.36 | N/A |
BYRN collar risk and reward
- Net Premium / Debit
- N/A
- Max Profit (per contract)
- Unbounded
- Max Loss (per contract)
- Unbounded
- Breakeven(s)
- None on modeled curve
- Risk / Reward Ratio
- N/A
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.
BYRN collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on BYRN. 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.
When traders use collar on BYRN
Collars on BYRN hedge an existing long BYRN 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.
BYRN thesis for this collar
The market-implied 1-standard-deviation range for BYRN extends from approximately $4.64 on the downside to $8.74 on the upside. A BYRN collar hedges an existing long BYRN 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 BYRN IV rank near 21.20% sits in the lower third of its 1-year distribution, where IV often re-expands toward the mean; this favors premium-buying structures and disadvantages premium-selling structures on BYRN at 106.70%. As a Industrials name, BYRN options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to BYRN-specific events.
BYRN 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. BYRN positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move BYRN alongside the broader basket even when BYRN-specific fundamentals are unchanged. Always rebuild the position from current BYRN chain quotes before placing a trade.
Frequently asked questions
- What is a collar on BYRN?
- A collar on BYRN is the collar strategy applied to BYRN (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 BYRN stock trading near $6.69, the strikes shown on this page are snapped to the nearest listed BYRN chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are BYRN 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 BYRN collar priced from the end-of-day chain at a 30-day expiry (ATM IV 106.70%), the computed maximum profit is unbounded per contract and the computed maximum loss is unbounded per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a BYRN collar?
- The breakeven for the BYRN collar priced on this page is no defined breakeven on the modeled curve 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 BYRN market-implied 1-standard-deviation expected move is approximately 30.59%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on BYRN?
- Collars on BYRN hedge an existing long BYRN 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 BYRN implied volatility affect this collar?
- BYRN ATM IV is at 106.70% with IV rank near 21.20%, which is on the low end of its 1-year range. Premium-buying structures (long call, long put, debit spreads) are relatively cheap in this regime; premium-selling structures collect less credit per unit risk.