CBIO Collar Strategy
CBIO (Crescent Biopharma, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Crescent Biopharma, Inc. is a biotechnology firm dedicated to the research and development of novel cancer therapies. Its investigational portfolio notably includes CR-001, a proprietary bispecific antibody engineered to simultaneously target PD-1 and VEGF pathways for the treatment of solid tumors. The company's pipeline further comprises CR-002 and CR-003. Crescent Biopharma also maintains a strategic alliance with Sichuan Kelun-Biotech Biopharmaceutical Co., Ltd., focusing on the joint advancement and commercialization of oncology therapeutics, encompassing innovative combination approaches. The company's operations are headquartered in Waltham, Massachusetts.
CBIO (Crescent Biopharma, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $610.3M, a beta of 1.22 versus the broader market, a 52-week range of 8.72-27.41, average daily share volume of 331K, a public-listing history dating back to 2014, approximately 44 full-time employees. These structural characteristics shape how CBIO stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.22 places CBIO roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a collar on CBIO?
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.
CBIO snapshot
As of August 14, 2026, spot at $16.91, ATM IV 131.40%, IV rank 53.79%, expected move 37.67%. The collar on CBIO below is built from the end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.
Why this collar structure on CBIO specifically: IV regime affects collar pricing on both sides; mid-range CBIO IV at 131.40% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 37.67% (roughly $6.37 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated CBIO expiries trade a higher absolute premium for lower per-day decay. Position sizing on CBIO should anchor to the underlying notional of $16.91 per share and to the trader's directional view on CBIO stock.
CBIO collar setup
The CBIO 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 CBIO at $16.91 on that close, the first option leg uses a $17.76 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CBIO chain at a 35-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 CBIO shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $16.91 | long |
| Sell 1 | Call | $17.76 | N/A |
| Buy 1 | Put | $16.06 | N/A |
CBIO 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.
CBIO collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on CBIO. 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 CBIO
Collars on CBIO hedge an existing long CBIO 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.
CBIO thesis for this collar
The market-implied 1-standard-deviation range for CBIO extends from approximately $10.54 on the downside to $23.28 on the upside. A CBIO collar hedges an existing long CBIO 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 CBIO IV rank near 53.79% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on CBIO should anchor more to the directional view and the expected-move geometry. As a Healthcare name, CBIO options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CBIO-specific events.
CBIO 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. CBIO positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move CBIO alongside the broader basket even when CBIO-specific fundamentals are unchanged. Always rebuild the position from current CBIO chain quotes before placing a trade.
Frequently asked questions
- What is a collar on CBIO?
- A collar on CBIO is the collar strategy applied to CBIO (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 CBIO stock at $16.91 on the most recent close, the strikes shown on this page are snapped to the nearest listed CBIO chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are CBIO 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 CBIO collar priced from the end-of-day chain at a 30-day expiry (ATM IV 131.40%), 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 CBIO collar?
- The breakeven for the CBIO collar priced on this page is no defined breakeven on the modeled curve at expiration, derived from the end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The CBIO market-implied 1-standard-deviation expected move in the same options snapshot is approximately 37.67%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on CBIO?
- Collars on CBIO hedge an existing long CBIO 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 CBIO implied volatility affect this collar?
- CBIO ATM IV is at 131.40% with IV rank near 53.79%, 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.