GIII Long Put Strategy
GIII (G-III Apparel Group, Ltd.), in the Consumer Cyclical sector, (Apparel - Manufacturers industry), listed on NASDAQ.
G-III Apparel Group, Ltd. designs, sources, and markets women's and men's apparel in the United States and internationally. The company operates through two segments, Wholesale Operations and Retail Operations. Its products include outerwear, dresses, sportswear, swimwear, women's suits, and women's performance wear; and women's handbags, footwear, small leather goods, cold weather accessories, and luggage. The company markets apparel and other products under the proprietary brand names, including DKNY, Donna Karan, Vilebrequin, Eliza J, Jessica Howard, Andrew Marc, Marc New York, Sonia Rykiel, Black Rivet, G-III Sports by Carl Banks, and G-III for Her; and licensed brands, such as Calvin Klein, Tommy Hilfiger, Karl Lagerfeld Paris, Levi's, Guess?, Kenneth Cole, Cole Haan, Vince Camuto, and Dockers. It has licenses with the National Football League, Major League Baseball, National Basketball Association, Major League Baseball, and National Hockey League, as well as approximately 150 U.S. colleges and universities. The company offers its products to department, specialty, and mass merchant retail stores.
GIII (G-III Apparel Group, Ltd.) trades in the Consumer Cyclical sector, specifically Apparel - Manufacturers, with a market capitalization of approximately $1.24B, a trailing P/E of 18.43, a beta of 1.30 versus the broader market, a 52-week range of 20.33-34.83, average daily share volume of 541K, a public-listing history dating back to 1989, approximately 4K full-time employees. These structural characteristics shape how GIII stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.30 places GIII roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. GIII pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a long put on GIII?
A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration.
Current GIII snapshot
As of May 15, 2026, spot at $28.89, ATM IV 57.10%, IV rank 10.60%, expected move 16.37%. The long put on GIII below is built from the same end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 34-day expiry.
Why this long put structure on GIII specifically: GIII IV at 57.10% is on the cheap side of its 1-year range, which favors premium-buying structures like a GIII long put, with a market-implied 1-standard-deviation move of approximately 16.37% (roughly $4.73 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated GIII expiries trade a higher absolute premium for lower per-day decay. Position sizing on GIII should anchor to the underlying notional of $28.89 per share and to the trader's directional view on GIII stock.
GIII long put setup
The GIII long put below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With GIII near $28.89, the first option leg uses a $28.89 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed GIII chain at a 34-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 GIII shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $28.89 | N/A |
GIII long put 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 equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium.
GIII long put payoff curve
Modeled P&L at expiration across a range of underlying prices for the long put on GIII. 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 long put on GIII
Long puts on GIII hedge an existing long GIII stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying GIII exposure being hedged.
GIII thesis for this long put
The market-implied 1-standard-deviation range for GIII extends from approximately $24.16 on the downside to $33.62 on the upside. A GIII long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long GIII position with one put per 100 shares held. Current GIII IV rank near 10.60% 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 GIII at 57.10%. As a Consumer Cyclical name, GIII options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to GIII-specific events.
GIII long put positions are structurally bearish; 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. GIII positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move GIII alongside the broader basket even when GIII-specific fundamentals are unchanged. Long-premium structures like a long put on GIII are particularly exposed to IV-crush risk through scheduled events (earnings, FDA decisions, central-bank meetings) where IV typically contracts post-event regardless of the directional outcome. Always rebuild the position from current GIII chain quotes before placing a trade.
Frequently asked questions
- What is a long put on GIII?
- A long put on GIII is the long put strategy applied to GIII (stock). The strategy is structurally bearish: A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration. With GIII stock trading near $28.89, the strikes shown on this page are snapped to the nearest listed GIII chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are GIII long put max profit and max loss calculated?
- Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium. For the GIII long put priced from the end-of-day chain at a 30-day expiry (ATM IV 57.10%), 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 GIII long put?
- The breakeven for the GIII long put priced on this page is no defined breakeven on the modeled curve at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current GIII market-implied 1-standard-deviation expected move is approximately 16.37%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a long put on GIII?
- Long puts on GIII hedge an existing long GIII stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying GIII exposure being hedged.
- How does current GIII implied volatility affect this long put?
- GIII ATM IV is at 57.10% with IV rank near 10.60%, 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.