How are CCK 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 CCK collar priced from the end-of-day chain at a 30-day expiry (ATM IV 26.90%), the computed maximum profit is $411.50 per contract and the computed maximum loss is -$338.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a CCK collar?

The breakeven for the CCK collar priced on this page is roughly $95.88 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 CCK market-implied 1-standard-deviation expected move is approximately 7.71%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current CCK implied volatility affect this collar?

CCK ATM IV is at 26.90% with IV rank near 38.86%, 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.

CCK Collar Strategy

CCK (Crown Holdings, Inc.), in the Consumer Cyclical sector, (Packaging & Containers industry), listed on NYSE.

Crown Holdings, Inc. designs, manufactures, and sells packaging products and equipment for consumer goods and industrial products in the Americas, Europe, and the Asia Pacific. It offers products for consumer goods, including steel and aluminum cans for food and beverage industries. The company also provides products for industrial products, such as steel and plastic strap consumables and equipment, paper-based protective packaging, and plastic film consumables and equipment to metals, food and beverage, construction, agricultural, corrugated, and general industries. In addition, it offers other consumer products, glass bottles for beverage products, steel crowns, aluminum caps, steel strap, plastic strap, industrial film, and other related products, as well as equipment and tools, such as manual, semi-automatic, and automatic equipment and tools used in end of line manufacturing applications to apply industrial solutions consumables. Crown Holdings, Inc. was founded in 1892 and is headquartered in Yardley, Pennsylvania.

CCK (Crown Holdings, Inc.) trades in the Consumer Cyclical sector, specifically Packaging & Containers, with a market capitalization of approximately $11.20B, a trailing P/E of 15.61, a beta of 0.65 versus the broader market, a 52-week range of 89.21-116.62, average daily share volume of 1.1M, a public-listing history dating back to 1980, approximately 23K full-time employees. These structural characteristics shape how CCK stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.65 indicates CCK has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. CCK pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a collar on CCK?

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 CCK snapshot

As of May 15, 2026, spot at $96.51, ATM IV 26.90%, IV rank 38.86%, expected move 7.71%. The collar on CCK 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 34-day expiry.

Why this collar structure on CCK specifically: IV regime affects collar pricing on both sides; mid-range CCK IV at 26.90% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 7.71% (roughly $7.44 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated CCK expiries trade a higher absolute premium for lower per-day decay. Position sizing on CCK should anchor to the underlying notional of $96.51 per share and to the trader's directional view on CCK stock.

CCK collar setup

The CCK 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 CCK near $96.51, the first option leg uses a $100.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CCK chain at a 34-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 CCK shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 100 shares	Stock	$96.51	long
Sell 1	Call	$100.00	$2.13
Buy 1	Put	$92.50	$1.50

CCK collar risk and reward

Net Premium / Debit: -$9,588.50
Max Profit (per contract): $411.50
Max Loss (per contract): -$338.50
Breakeven(s): $95.88
Risk / Reward Ratio: 1.216

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.

CCK collar payoff curve

Modeled P&L at expiration across a range of underlying prices for the collar on CCK. 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%	-$338.50
$21.35	-77.9%	-$338.50
$42.69	-55.8%	-$338.50
$64.02	-33.7%	-$338.50
$85.36	-11.6%	-$338.50
$106.70	+10.6%	+$411.50
$128.04	+32.7%	+$411.50
$149.37	+54.8%	+$411.50
$170.71	+76.9%	+$411.50
$192.05	+99.0%	+$411.50

When traders use collar on CCK

Collars on CCK hedge an existing long CCK 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.

CCK thesis for this collar

The market-implied 1-standard-deviation range for CCK extends from approximately $89.07 on the downside to $103.95 on the upside. A CCK collar hedges an existing long CCK 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 CCK IV rank near 38.86% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on CCK should anchor more to the directional view and the expected-move geometry. As a Consumer Cyclical name, CCK options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CCK-specific events.

CCK 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. CCK positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move CCK alongside the broader basket even when CCK-specific fundamentals are unchanged. Always rebuild the position from current CCK chain quotes before placing a trade.

Frequently asked questions

What is a collar on CCK?: A collar on CCK is the collar strategy applied to CCK (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 CCK stock trading near $96.51, the strikes shown on this page are snapped to the nearest listed CCK chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are CCK 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 CCK collar priced from the end-of-day chain at a 30-day expiry (ATM IV 26.90%), the computed maximum profit is $411.50 per contract and the computed maximum loss is -$338.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a CCK collar?: The breakeven for the CCK collar priced on this page is roughly $95.88 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 CCK market-implied 1-standard-deviation expected move is approximately 7.71%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a collar on CCK?: Collars on CCK hedge an existing long CCK 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 CCK implied volatility affect this collar?: CCK ATM IV is at 26.90% with IV rank near 38.86%, 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.