How are CRK 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 CRK collar priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 48.40%), the computed maximum profit is $97.50 per contract and the computed maximum loss is -$102.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a CRK collar?

The breakeven for the CRK collar priced on this page is roughly $14.03 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 CRK market-implied 1-standard-deviation expected move in the same options snapshot is approximately 13.88%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current CRK implied volatility affect this collar?

CRK ATM IV is at 48.40% with IV rank near 37.65%, 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.

CRK Collar Strategy

CRK (Comstock Resources, Inc.), in the Energy sector, (Oil & Gas Exploration & Production industry), listed on NYSE.

Comstock Resources, Inc., an independent energy company, engages in the acquisition, exploration, development, and production of natural gas and oil properties in the United States. Its assets covering an area of approximately 1,069,991 acres are located in the Haynesville and Bossier shales located in North Louisiana and East Texas. The company was incorporated in 1919 and is headquartered in Frisco, Texas.

CRK (Comstock Resources, Inc.) trades in the Energy sector, specifically Oil & Gas Exploration & Production, with a market capitalization of approximately $4.09B, a trailing P/E of 7.55, a beta of 0.10 versus the broader market, a 52-week range of 12.12-28.1, average daily share volume of 2.5M, a public-listing history dating back to 1987, approximately 252 full-time employees. These structural characteristics shape how CRK stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.10 indicates CRK has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. The trailing P/E of 7.55 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price. CRK pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a collar on CRK?

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.

CRK snapshot

As of August 14, 2026, spot at $14.10, ATM IV 48.40%, IV rank 37.65%, expected move 13.88%. The collar on CRK 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 35-day expiry.

Why this collar structure on CRK specifically: IV regime affects collar pricing on both sides; mid-range CRK IV at 48.40% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 13.88% (roughly $1.96 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 CRK expiries trade a higher absolute premium for lower per-day decay. Position sizing on CRK should anchor to the underlying notional of $14.10 per share and to the trader's directional view on CRK stock.

CRK collar setup

The CRK 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 CRK at $14.10 on that close, the first option leg uses a $15.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CRK 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 CRK shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 100 shares	Stock	$14.10	long
Sell 1	Call	$15.00	$0.48
Buy 1	Put	$13.00	$0.40

CRK collar risk and reward

Net Premium / Debit: -$1,402.50
Max Profit (per contract): $97.50
Max Loss (per contract): -$102.50
Breakeven(s): $14.03
Risk / Reward Ratio: 0.951

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.

CRK collar payoff curve

Modeled P&L at expiration across a range of underlying prices for the collar on CRK. 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%	-$102.50
$3.13	-77.8%	-$102.50
$6.24	-55.7%	-$102.50
$9.36	-33.6%	-$102.50
$12.48	-11.5%	-$102.50
$15.59	+10.6%	+$97.50
$18.71	+32.7%	+$97.50
$21.83	+54.8%	+$97.50
$24.94	+76.9%	+$97.50
$28.06	+99.0%	+$97.50

When traders use collar on CRK

Collars on CRK hedge an existing long CRK 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.

CRK thesis for this collar

The market-implied 1-standard-deviation range for CRK extends from approximately $12.14 on the downside to $16.06 on the upside. A CRK collar hedges an existing long CRK 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 CRK IV rank near 37.65% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on CRK should anchor more to the directional view and the expected-move geometry. As a Energy name, CRK options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CRK-specific events.

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

Frequently asked questions

What is a collar on CRK?: A collar on CRK is the collar strategy applied to CRK (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 CRK stock at $14.10 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed CRK chain strike and the premiums come straight from that session's bid/ask midpoint.
How are CRK 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 CRK collar priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 48.40%), the computed maximum profit is $97.50 per contract and the computed maximum loss is -$102.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a CRK collar?: The breakeven for the CRK collar priced on this page is roughly $14.03 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 CRK market-implied 1-standard-deviation expected move in the same options snapshot is approximately 13.88%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a collar on CRK?: Collars on CRK hedge an existing long CRK 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 CRK implied volatility affect this collar?: CRK ATM IV is at 48.40% with IV rank near 37.65%, 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.