DUOT Collar Strategy
DUOT (Duos Technologies Group, Inc.), in the Technology sector, (Software - Application industry), listed on NASDAQ.
Duos Technologies Group, Inc. (DUOT) is a North American enterprise that conceives, develops, implements, and manages intelligent technology solutions. Their core technological framework includes Centraco, an overarching system for managing enterprise information. Another key platform is Truevue360, an integrated environment crafted for the creation and deployment of advanced artificial intelligence algorithms. This platform supports machine learning, computer vision, object detection, and deep neural network-based processing, all optimized for real-time applications. Furthermore, Praesidium is utilized to integrate and oversee various image capture devices and sensors, funneling their data into the Centraco software. Among their proprietary applications are the Railcar Inspection Portal, designed for the automated examination of freight and transit trains while in motion.
DUOT (Duos Technologies Group, Inc.) trades in the Technology sector, specifically Software - Application, with a market capitalization of approximately $275.3M, a beta of 1.34 versus the broader market, a 52-week range of 5.775-15.28, average daily share volume of 716K, a public-listing history dating back to 2017, approximately 37 full-time employees. These structural characteristics shape how DUOT stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.34 indicates DUOT has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.
What is a collar on DUOT?
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.
DUOT snapshot
As of August 14, 2026, spot at $9.23, ATM IV 95.80%, IV rank 17.30%, expected move 27.46%. The collar on DUOT 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 35-day expiry.
Why this collar structure on DUOT specifically: IV regime affects collar pricing on both sides; compressed DUOT IV at 95.80% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 27.46% (roughly $2.54 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 DUOT expiries trade a higher absolute premium for lower per-day decay. Position sizing on DUOT should anchor to the underlying notional of $9.23 per share and to the trader's directional view on DUOT stock.
DUOT collar setup
The DUOT 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 DUOT at $9.23 on that close, the first option leg uses a $9.69 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed DUOT 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 DUOT shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $9.23 | long |
| Sell 1 | Call | $9.69 | N/A |
| Buy 1 | Put | $8.77 | N/A |
DUOT 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.
DUOT collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on DUOT. 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 DUOT
Collars on DUOT hedge an existing long DUOT 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.
DUOT thesis for this collar
The market-implied 1-standard-deviation range for DUOT extends from approximately $6.69 on the downside to $11.77 on the upside. A DUOT collar hedges an existing long DUOT 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 DUOT IV rank near 17.30% 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 DUOT at 95.80%. As a Technology name, DUOT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to DUOT-specific events.
DUOT 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. DUOT positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move DUOT alongside the broader basket even when DUOT-specific fundamentals are unchanged. Always rebuild the position from current DUOT chain quotes before placing a trade.
Frequently asked questions
- What is a collar on DUOT?
- A collar on DUOT is the collar strategy applied to DUOT (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 DUOT stock at $9.23 on the most recent close, the strikes shown on this page are snapped to the nearest listed DUOT chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are DUOT 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 DUOT collar priced from the end-of-day chain at a 30-day expiry (ATM IV 95.80%), 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 DUOT collar?
- The breakeven for the DUOT 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 DUOT market-implied 1-standard-deviation expected move in the same options snapshot is approximately 27.46%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on DUOT?
- Collars on DUOT hedge an existing long DUOT 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 DUOT implied volatility affect this collar?
- DUOT ATM IV is at 95.80% with IV rank near 17.30%, 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.