CCS Collar Strategy
CCS (Century Communities, Inc.), in the Consumer Cyclical sector, (Residential Construction industry), listed on NYSE.
Century Communities, Inc., together with its subsidiaries, engages in the design, development, construction, marketing, and sale of single-family attached and detached homes. It is also involved in the entitlement and development of the underlying land; and provision of mortgage, title, and insurance services to its home buyers. The company offers homes under the Century Communities and Century Complete brands. It sells homes through its sales representatives, retail studios, and internet, as well as through independent real estate brokers in 17 states in the United States. Century Communities, Inc. was founded in 2002 and is headquartered in Greenwood Village, Colorado.
CCS (Century Communities, Inc.) trades in the Consumer Cyclical sector, specifically Residential Construction, with a market capitalization of approximately $1.49B, a trailing P/E of 11.43, a beta of 1.37 versus the broader market, a 52-week range of 50.42-76, average daily share volume of 271K, a public-listing history dating back to 2014, approximately 2K full-time employees. These structural characteristics shape how CCS stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.37 indicates CCS has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. The trailing P/E of 11.43 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price. CCS pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on CCS?
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 CCS snapshot
As of May 15, 2026, spot at $48.17, ATM IV 44.60%, IV rank 37.40%, expected move 12.79%. The collar on CCS 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 CCS specifically: IV regime affects collar pricing on both sides; mid-range CCS IV at 44.60% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 12.79% (roughly $6.16 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 CCS expiries trade a higher absolute premium for lower per-day decay. Position sizing on CCS should anchor to the underlying notional of $48.17 per share and to the trader's directional view on CCS stock.
CCS collar setup
The CCS 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 CCS near $48.17, the first option leg uses a $50.58 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CCS 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 CCS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $48.17 | long |
| Sell 1 | Call | $50.58 | N/A |
| Buy 1 | Put | $45.76 | N/A |
CCS 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.
CCS collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on CCS. 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 CCS
Collars on CCS hedge an existing long CCS 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.
CCS thesis for this collar
The market-implied 1-standard-deviation range for CCS extends from approximately $42.01 on the downside to $54.33 on the upside. A CCS collar hedges an existing long CCS 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 CCS IV rank near 37.40% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on CCS should anchor more to the directional view and the expected-move geometry. As a Consumer Cyclical name, CCS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CCS-specific events.
CCS 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. CCS positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move CCS alongside the broader basket even when CCS-specific fundamentals are unchanged. Always rebuild the position from current CCS chain quotes before placing a trade.
Frequently asked questions
- What is a collar on CCS?
- A collar on CCS is the collar strategy applied to CCS (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 CCS stock trading near $48.17, the strikes shown on this page are snapped to the nearest listed CCS chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are CCS 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 CCS collar priced from the end-of-day chain at a 30-day expiry (ATM IV 44.60%), 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 CCS collar?
- The breakeven for the CCS 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 CCS market-implied 1-standard-deviation expected move is approximately 12.79%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on CCS?
- Collars on CCS hedge an existing long CCS 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 CCS implied volatility affect this collar?
- CCS ATM IV is at 44.60% with IV rank near 37.40%, 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.