CVRX Collar Strategy
CVRX (CVRx, Inc.), in the Healthcare sector, (Medical - Devices industry), listed on NASDAQ.
CVRx, Inc. is a commercial-stage medical technology company focused on innovating, producing, and bringing to market neuromodulation solutions designed for individuals battling cardiovascular diseases. Its principal offering, Barostim, is an advanced neuromodulation device specifically indicated to ameliorate symptoms for patients diagnosed with heart failure characterized by reduced ejection fraction, often referred to as systolic heart failure. The company employs a diverse distribution strategy, leveraging its internal sales force, alongside sales agents and independent distributors, to reach markets across the United States, Germany, the wider European continent, and other global territories. Incorporated in 2000, CVRx, Inc. is headquartered in Minneapolis, Minnesota.
CVRX (CVRx, Inc.) trades in the Healthcare sector, specifically Medical - Devices, with a market capitalization of approximately $71.6M, a beta of 0.76 versus the broader market, a 52-week range of 2.2-11.3, average daily share volume of 656K, a public-listing history dating back to 2021, approximately 223 full-time employees. These structural characteristics shape how CVRX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.76 places CVRX roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a collar on CVRX?
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.
CVRX snapshot
As of September 29, 2026, spot at $2.61, ATM IV 210.10%, IV rank 40.50%, expected move 60.23%. The collar on CVRX below is built from the end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 17-day expiry.
Why this collar structure on CVRX specifically: IV regime affects collar pricing on both sides; mid-range CVRX IV at 210.10% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 60.23% (roughly $1.57 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated CVRX expiries trade a higher absolute premium for lower per-day decay. Position sizing on CVRX should anchor to the underlying notional of $2.61 per share and to the trader's directional view on CVRX stock.
CVRX collar setup
The CVRX 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 CVRX at $2.61 on that close, the first option leg uses a $2.74 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CVRX chain at a 17-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 CVRX shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $2.61 | long |
| Sell 1 | Call | $2.74 | N/A |
| Buy 1 | Put | $2.48 | N/A |
CVRX 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.
CVRX collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on CVRX. 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 CVRX
Collars on CVRX hedge an existing long CVRX 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.
CVRX thesis for this collar
The market-implied 1-standard-deviation range for CVRX extends from approximately $1.04 on the downside to $4.18 on the upside. A CVRX collar hedges an existing long CVRX 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 CVRX IV rank near 40.50% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on CVRX should anchor more to the directional view and the expected-move geometry. As a Healthcare name, CVRX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CVRX-specific events.
CVRX 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. CVRX positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move CVRX alongside the broader basket even when CVRX-specific fundamentals are unchanged. Always rebuild the position from current CVRX chain quotes before placing a trade.
Frequently asked questions
- What is a collar on CVRX?
- A collar on CVRX is the collar strategy applied to CVRX (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 CVRX stock at $2.61 on the most recent close, the strikes shown on this page are snapped to the nearest listed CVRX chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are CVRX 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 CVRX collar priced from the end-of-day chain at a 30-day expiry (ATM IV 210.10%), 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 CVRX collar?
- The breakeven for the CVRX collar priced on this page is no defined breakeven on the modeled curve at expiration, derived from the 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 CVRX market-implied 1-standard-deviation expected move in the same options snapshot is approximately 60.23%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on CVRX?
- Collars on CVRX hedge an existing long CVRX 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 CVRX implied volatility affect this collar?
- CVRX ATM IV is at 210.10% with IV rank near 40.50%, 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.