EBF Collar Strategy
EBF (Ennis, Inc.), in the Industrials sector, (Business Equipment & Supplies industry), listed on NYSE.
Ennis, Inc., established in 1909 and based in Midlothian, Texas (originally incorporated as Ennis Business Forms, Inc.), is a U.S.-based company dedicated to creating, producing, and marketing business forms and a diverse range of related commercial products. The company's primary offerings include a comprehensive selection of forms like continuous forms, snap sets, laser cut sheets, and integrated products, along with various tags, labels, envelopes, jumbo rolls, and pressure-sensitive materials. These products are sold under an extensive array of brands such as Ennis, Royal Business Forms, Block Graphics, Specialized Printed Forms, 360º Custom Labels, and ColorWorx, among many others. Beyond its core forms business, Ennis, Inc. extends its services to include point-of-purchase (POP) advertising, kitting, and fulfillment solutions, primarily catering to large franchise and fast-food organizations through its Adams McClure brand. It also manufactures presentation and document folders, marketed under names like Admore, Folder Express, and Independent Folders. Furthermore, the company provides custom and stock tags and labels, including high-performance varieties, via brands such as Ennis Tag & Label, Allen-Bailey Tag & Label, and Atlas Tag & Label.
EBF (Ennis, Inc.) trades in the Industrials sector, specifically Business Equipment & Supplies, with a market capitalization of approximately $555.6M, a trailing P/E of 13.04, a beta of 0.28 versus the broader market, a 52-week range of 16.3-22.55, average daily share volume of 152K, a public-listing history dating back to 1980, approximately 2K full-time employees. These structural characteristics shape how EBF stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.28 indicates EBF has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. EBF pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on EBF?
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.
EBF snapshot
As of August 14, 2026, spot at $21.98, ATM IV 26.00%, IV rank 5.51%, expected move 7.45%. The collar on EBF 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 EBF specifically: IV regime affects collar pricing on both sides; compressed EBF IV at 26.00% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 7.45% (roughly $1.64 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 EBF expiries trade a higher absolute premium for lower per-day decay. Position sizing on EBF should anchor to the underlying notional of $21.98 per share and to the trader's directional view on EBF stock.
EBF collar setup
The EBF 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 EBF at $21.98 on that close, the first option leg uses a $23.08 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed EBF 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 EBF shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $21.98 | long |
| Sell 1 | Call | $23.08 | N/A |
| Buy 1 | Put | $20.88 | N/A |
EBF 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.
EBF collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on EBF. 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 EBF
Collars on EBF hedge an existing long EBF 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.
EBF thesis for this collar
The market-implied 1-standard-deviation range for EBF extends from approximately $20.34 on the downside to $23.62 on the upside. A EBF collar hedges an existing long EBF 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 EBF IV rank near 5.51% 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 EBF at 26.00%. As a Industrials name, EBF options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to EBF-specific events.
EBF 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. EBF positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move EBF alongside the broader basket even when EBF-specific fundamentals are unchanged. Always rebuild the position from current EBF chain quotes before placing a trade.
Frequently asked questions
- What is a collar on EBF?
- A collar on EBF is the collar strategy applied to EBF (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 EBF stock at $21.98 on the most recent close, the strikes shown on this page are snapped to the nearest listed EBF chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are EBF 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 EBF collar priced from the end-of-day chain at a 30-day expiry (ATM IV 26.00%), 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 EBF collar?
- The breakeven for the EBF 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 EBF market-implied 1-standard-deviation expected move in the same options snapshot is approximately 7.45%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on EBF?
- Collars on EBF hedge an existing long EBF 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 EBF implied volatility affect this collar?
- EBF ATM IV is at 26.00% with IV rank near 5.51%, 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.