EXEL Collar Strategy
EXEL (Exelixis, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Exelixis, Inc. operates as a biotechnology firm dedicated to combating cancer, primarily focusing on the identification, advancement, and marketing of novel oncological treatments within the United States. Its portfolio of commercially available therapeutics includes CABOMETYX tablets, prescribed for individuals with advanced renal cell carcinoma who have previously undergone anti-angiogenic treatment, and COMETRIQ capsules, utilized for managing progressive and metastatic medullary thyroid cancer. Both CABOMETYX and COMETRIQ originate from cabozantinib, a compound that inhibits several tyrosine kinases such as MET, AXL, RET, and VEGF receptors. Additionally, Exelixis offers COTELLIC, an MEK inhibitor employed in combination therapies for advanced melanoma, and MINNEBRO, an orally administered, non-steroidal selective mineralocorticoid receptor blocker, approved for hypertension treatment in Japan. The company's developmental pipeline features several promising candidates, such as XL092, an oral tyrosine kinase inhibitor designed to target VEGF receptors, MET, AXL, MER, and other kinases crucial for cancer proliferation; XB002, an antibody-drug conjugate containing a human monoclonal antibody against tissue factor (TF), intended for advanced solid tumors and non-Hodgkin's lymphoma; and XL102, an orally available cyclin-dependent kinase 7 (CDK7) inhibitor being developed for advanced or metastatic solid tumors. Exelixis, Inc. maintains extensive research partnerships and licensing arrangements with numerous pharmaceutical and biotechnology entities, including Ipsen Pharma SAS, Takeda Pharmaceutical Company Ltd., F.
EXEL (Exelixis, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $12.66B, a trailing P/E of 14.68, a beta of 0.42 versus the broader market, a 52-week range of 33.76-57.57, average daily share volume of 2.7M, a public-listing history dating back to 2000, approximately 1K full-time employees. These structural characteristics shape how EXEL stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.42 indicates EXEL has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure.
What is a collar on EXEL?
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.
EXEL snapshot
As of August 14, 2026, spot at $51.09, ATM IV 32.90%, IV rank 32.64%, expected move 9.43%. The collar on EXEL 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 7-day expiry.
Why this collar structure on EXEL specifically: IV regime affects collar pricing on both sides; mid-range EXEL IV at 32.90% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 9.43% (roughly $4.82 on the underlying). The 7-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated EXEL expiries trade a higher absolute premium for lower per-day decay. Position sizing on EXEL should anchor to the underlying notional of $51.09 per share and to the trader's directional view on EXEL stock.
EXEL collar setup
The EXEL 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 EXEL at $51.09 on that close, the first option leg uses a $55.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed EXEL chain at a 7-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 EXEL shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $51.09 | long |
| Sell 1 | Call | $55.00 | $0.10 |
| Buy 1 | Put | $49.00 | $0.15 |
EXEL collar risk and reward
- Net Premium / Debit
- -$5,114.00
- Max Profit (per contract)
- $386.00
- Max Loss (per contract)
- -$214.00
- Breakeven(s)
- $51.14
- Risk / Reward Ratio
- 1.804
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.
EXEL collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on EXEL. 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.
| Underlying Price | % From Spot | P&L at Expiration |
|---|---|---|
| $0.01 | -100.0% | -$214.00 |
| $11.31 | -77.9% | -$214.00 |
| $22.60 | -55.8% | -$214.00 |
| $33.90 | -33.7% | -$214.00 |
| $45.19 | -11.5% | -$214.00 |
| $56.49 | +10.6% | +$386.00 |
| $67.78 | +32.7% | +$386.00 |
| $79.08 | +54.8% | +$386.00 |
| $90.37 | +76.9% | +$386.00 |
| $101.67 | +99.0% | +$386.00 |
When traders use collar on EXEL
Collars on EXEL hedge an existing long EXEL 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.
EXEL thesis for this collar
The market-implied 1-standard-deviation range for EXEL extends from approximately $46.27 on the downside to $55.91 on the upside. A EXEL collar hedges an existing long EXEL 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 EXEL IV rank near 32.64% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on EXEL should anchor more to the directional view and the expected-move geometry. As a Healthcare name, EXEL options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to EXEL-specific events.
EXEL 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. EXEL positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move EXEL alongside the broader basket even when EXEL-specific fundamentals are unchanged. Always rebuild the position from current EXEL chain quotes before placing a trade.
Frequently asked questions
- What is a collar on EXEL?
- A collar on EXEL is the collar strategy applied to EXEL (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 EXEL stock at $51.09 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed EXEL chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are EXEL 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 EXEL collar priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 32.90%), the computed maximum profit is $386.00 per contract and the computed maximum loss is -$214.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a EXEL collar?
- The breakeven for the EXEL collar priced on this page is roughly $51.14 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 EXEL market-implied 1-standard-deviation expected move in the same options snapshot is approximately 9.43%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on EXEL?
- Collars on EXEL hedge an existing long EXEL 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 EXEL implied volatility affect this collar?
- EXEL ATM IV is at 32.90% with IV rank near 32.64%, 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.