How are CPNG 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 CPNG collar priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 41.61%), the computed maximum profit is $75.50 per contract and the computed maximum loss is -$74.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a CPNG collar?

The breakeven for the CPNG collar priced on this page is roughly $16.25 at expiration, derived from the August 14, 2026 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 CPNG market-implied 1-standard-deviation expected move in the same options snapshot is approximately 11.93%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current CPNG implied volatility affect this collar?

CPNG ATM IV is at 41.61% with IV rank near 26.93%, 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.

CPNG Collar Strategy

CPNG (Coupang, Inc.), in the Consumer Cyclical sector, (Specialty Retail industry), listed on NYSE.

Coupang, Inc., together with its subsidiaries, owns and operates retail business through its mobile applications and internet websites in South Korea and internationally. It operates through Product Commerce and Developing Offerings segments. The Product Commerce segment includes Korean retail and marketplace offerings; Rocket Fresh, a fresh grocery offering; and advertising products. The Developing Offerings segment offers Eats, a restaurant ordering and delivery service; Play, an online content streaming service; fintech activities; and Farfetch, a luxury fashion marketplace. It also performs operations and support services in the United States, South Korea, Taiwan, Singapore, China, Japan, Europe, the United Kingdom, and India. Coupang, Inc. was incorporated in 2010 and is headquartered in Seattle, Washington.

CPNG (Coupang, Inc.) trades in the Consumer Cyclical sector, specifically Specialty Retail, with a market capitalization of approximately $29.34B, a beta of 1.16 versus the broader market, a 52-week range of 14.92-34.075, average daily share volume of 22.4M, a public-listing history dating back to 2021, approximately 108K full-time employees. These structural characteristics shape how CPNG stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.16 places CPNG roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.

What is a collar on CPNG?

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.

CPNG snapshot

As of August 14, 2026, spot at $16.18, ATM IV 41.61%, IV rank 26.93%, expected move 11.93%. The collar on CPNG below is built from the August 14, 2026 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 CPNG specifically: IV regime affects collar pricing on both sides; compressed CPNG IV at 41.61% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 11.93% (roughly $1.93 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 CPNG expiries trade a higher absolute premium for lower per-day decay. Position sizing on CPNG should anchor to the underlying notional of $16.18 per share and to the trader's directional view on CPNG stock.

CPNG collar setup

The CPNG collar below is built from the August 14, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With CPNG at $16.18 on that close, the first option leg uses a $17.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CPNG 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 CPNG shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 100 shares	Stock	$16.18	long
Sell 1	Call	$17.00	$0.38
Buy 1	Put	$15.50	$0.45

CPNG collar risk and reward

Net Premium / Debit: -$1,624.50
Max Profit (per contract): $75.50
Max Loss (per contract): -$74.50
Breakeven(s): $16.25
Risk / Reward Ratio: 1.013

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.

CPNG collar payoff curve

Modeled P&L at expiration across a range of underlying prices for the collar on CPNG. 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.

P&L at expiration across the modeled underlying-price range. Green shading marks profitable regions, red shading marks loss regions. Dotted purple verticals mark breakevens; the solid dark vertical marks current spot.

Underlying Price	% From Spot	P&L at Expiration
$0.01	-99.9%	-$74.50
$3.59	-77.8%	-$74.50
$7.16	-55.7%	-$74.50
$10.74	-33.6%	-$74.50
$14.32	-11.5%	-$74.50
$17.89	+10.6%	+$75.50
$21.47	+32.7%	+$75.50
$25.04	+54.8%	+$75.50
$28.62	+76.9%	+$75.50
$32.20	+99.0%	+$75.50

When traders use collar on CPNG

Collars on CPNG hedge an existing long CPNG 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.

CPNG thesis for this collar

The market-implied 1-standard-deviation range for CPNG extends from approximately $14.25 on the downside to $18.11 on the upside. A CPNG collar hedges an existing long CPNG 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 CPNG IV rank near 26.93% 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 CPNG at 41.61%. As a Consumer Cyclical name, CPNG options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CPNG-specific events.

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

Frequently asked questions

What is a collar on CPNG?: A collar on CPNG is the collar strategy applied to CPNG (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 CPNG stock at $16.18 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed CPNG chain strike and the premiums come straight from that session's bid/ask midpoint.
How are CPNG 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 CPNG collar priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 41.61%), the computed maximum profit is $75.50 per contract and the computed maximum loss is -$74.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a CPNG collar?: The breakeven for the CPNG collar priced on this page is roughly $16.25 at expiration, derived from the August 14, 2026 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 CPNG market-implied 1-standard-deviation expected move in the same options snapshot is approximately 11.93%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a collar on CPNG?: Collars on CPNG hedge an existing long CPNG 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 CPNG implied volatility affect this collar?: CPNG ATM IV is at 41.61% with IV rank near 26.93%, 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.