How are CDE 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 CDE collar priced from the end-of-day chain at a 30-day expiry (ATM IV 69.43%), the computed maximum profit is $94.50 per contract and the computed maximum loss is -$55.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a CDE collar?

The breakeven for the CDE collar priced on this page is roughly $17.56 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 CDE market-implied 1-standard-deviation expected move is approximately 19.90%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current CDE implied volatility affect this collar?

CDE ATM IV is at 69.43% with IV rank near 50.53%, 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.

CDE Collar Strategy

CDE (Coeur Mining, Inc.), in the Basic Materials sector, (Gold industry), listed on NYSE.

Coeur Mining, Inc. explores for precious metals in the United States, Canada, and Mexico. The company primarily explores for gold, silver, zinc, and lead properties. It holds 100% interests in the Palmarejo gold and silver mine covering an area of approximately 67,296 net acres located in the State of Chihuahua in Northern Mexico; the Rochester silver and gold mine that covers an area of approximately 43,441net acres situated in northwestern Nevada; the Kensington gold mine comprising 3,972 net acres located to the north of Juneau, Alaska; the Wharf gold mine covering an area of approximately 3,243 net acres situated in the northern Black Hills of western South Dakota; and the Silvertip silver-zinc-lead mine comprising 97,298 net acres located in northern British Columbia, Canada. In addition, the company owns interests in the Crown and Sterling projects located in southern Nevada; and the La Preciosa project located in Mexico. Further, it markets and sells its concentrates to third-party customers, smelters, under off-take agreements. The company was formerly known as Coeur d'Alene Mines Corporation and changed its name to Coeur Mining, Inc. in May 2013.Coeur Mining, Inc. was incorporated in 1928 and is headquartered in Chicago, Illinois.

CDE (Coeur Mining, Inc.) trades in the Basic Materials sector, specifically Gold, with a market capitalization of approximately $12.85B, a trailing P/E of 15.69, a beta of 1.24 versus the broader market, a 52-week range of 7.15-27.77, average daily share volume of 25.7M, a public-listing history dating back to 1980, approximately 2K full-time employees. These structural characteristics shape how CDE stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.24 places CDE roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.

What is a collar on CDE?

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 CDE snapshot

As of May 15, 2026, spot at $17.73, ATM IV 69.43%, IV rank 50.53%, expected move 19.90%. The collar on CDE 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 CDE specifically: IV regime affects collar pricing on both sides; mid-range CDE IV at 69.43% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 19.90% (roughly $3.53 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 CDE expiries trade a higher absolute premium for lower per-day decay. Position sizing on CDE should anchor to the underlying notional of $17.73 per share and to the trader's directional view on CDE stock.

CDE collar setup

The CDE 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 CDE near $17.73, the first option leg uses a $18.50 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CDE 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 CDE shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 100 shares	Stock	$17.73	long
Sell 1	Call	$18.50	$1.13
Buy 1	Put	$17.00	$0.95

CDE collar risk and reward

Net Premium / Debit: -$1,755.50
Max Profit (per contract): $94.50
Max Loss (per contract): -$55.50
Breakeven(s): $17.56
Risk / Reward Ratio: 1.703

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.

CDE collar payoff curve

Modeled P&L at expiration across a range of underlying prices for the collar on CDE. 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	-99.9%	-$55.50
$3.93	-77.8%	-$55.50
$7.85	-55.7%	-$55.50
$11.77	-33.6%	-$55.50
$15.69	-11.5%	-$55.50
$19.61	+10.6%	+$94.50
$23.52	+32.7%	+$94.50
$27.44	+54.8%	+$94.50
$31.36	+76.9%	+$94.50
$35.28	+99.0%	+$94.50

When traders use collar on CDE

Collars on CDE hedge an existing long CDE 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.

CDE thesis for this collar

The market-implied 1-standard-deviation range for CDE extends from approximately $14.20 on the downside to $21.26 on the upside. A CDE collar hedges an existing long CDE 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 CDE IV rank near 50.53% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on CDE should anchor more to the directional view and the expected-move geometry. As a Basic Materials name, CDE options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CDE-specific events.

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

Frequently asked questions

What is a collar on CDE?: A collar on CDE is the collar strategy applied to CDE (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 CDE stock trading near $17.73, the strikes shown on this page are snapped to the nearest listed CDE chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are CDE 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 CDE collar priced from the end-of-day chain at a 30-day expiry (ATM IV 69.43%), the computed maximum profit is $94.50 per contract and the computed maximum loss is -$55.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a CDE collar?: The breakeven for the CDE collar priced on this page is roughly $17.56 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 CDE market-implied 1-standard-deviation expected move is approximately 19.90%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a collar on CDE?: Collars on CDE hedge an existing long CDE 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 CDE implied volatility affect this collar?: CDE ATM IV is at 69.43% with IV rank near 50.53%, 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.