How are HIMS 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 HIMS collar priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 63.01%), the computed maximum profit is $174.00 per contract and the computed maximum loss is -$126.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a HIMS collar?

The breakeven for the HIMS collar priced on this page is roughly $28.26 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 HIMS market-implied 1-standard-deviation expected move in the same options snapshot is approximately 18.06%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current HIMS implied volatility affect this collar?

HIMS ATM IV is at 63.01% with IV rank near 5.16%, 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.

HIMS Collar Strategy

HIMS (Hims & Hers Health, Inc.), in the Healthcare sector, (Medical - Equipment & Services industry), listed on NYSE.

Hims & Hers Health, Inc. operates a comprehensive digital health platform that seamlessly links individuals with licensed medical professionals for virtual consultations and ongoing care. Through its user-friendly websites and mobile app, the company delivers a diverse portfolio of health and wellness solutions directly to consumers. This includes access to recurring prescription medications, alongside a wide selection of over-the-counter drugs, devices, cosmetics, and dietary supplements. Its core focus areas are general wellness, sexual health, skincare, and hair care. Specific non-prescription offerings span categories such as: Wellness: encompassing items like vitamin C, melatonin, biotin, and collagen protein supplements. Skincare: including products such as moisturizers, serums, and face washes.

HIMS (Hims & Hers Health, Inc.) trades in the Healthcare sector, specifically Medical - Equipment & Services, with a market capitalization of approximately $6.69B, a beta of 2.40 versus the broader market, a 52-week range of 13.74-65.299, average daily share volume of 22.0M, a public-listing history dating back to 2019, approximately 2K full-time employees. These structural characteristics shape how HIMS stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 2.40 indicates HIMS 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 HIMS?

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.

HIMS snapshot

As of August 14, 2026, spot at $28.40, ATM IV 63.01%, IV rank 5.16%, expected move 18.06%. The collar on HIMS 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 28-day expiry.

Why this collar structure on HIMS specifically: IV regime affects collar pricing on both sides; compressed HIMS IV at 63.01% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 18.06% (roughly $5.13 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated HIMS expiries trade a higher absolute premium for lower per-day decay. Position sizing on HIMS should anchor to the underlying notional of $28.40 per share and to the trader's directional view on HIMS stock.

HIMS collar setup

The HIMS 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 HIMS at $28.40 on that close, the first option leg uses a $30.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HIMS chain at a 28-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 HIMS shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 100 shares	Stock	$28.40	long
Sell 1	Call	$30.00	$1.41
Buy 1	Put	$27.00	$1.27

HIMS collar risk and reward

Net Premium / Debit: -$2,826.00
Max Profit (per contract): $174.00
Max Loss (per contract): -$126.00
Breakeven(s): $28.26
Risk / Reward Ratio: 1.381

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.

HIMS collar payoff curve

Modeled P&L at expiration across a range of underlying prices for the collar on HIMS. 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.

P&L at expiration across the modeled underlying-price range. Green shading marks profitable regions, red shading marks loss regions. Dotted purple verticals mark breakevens; the solid dark vertical marks current spot.

Underlying Price	% From Spot	P&L at Expiration
$0.01	-100.0%	-$126.00
$6.29	-77.9%	-$126.00
$12.57	-55.8%	-$126.00
$18.84	-33.6%	-$126.00
$25.12	-11.5%	-$126.00
$31.40	+10.6%	+$174.00
$37.68	+32.7%	+$174.00
$43.96	+54.8%	+$174.00
$50.24	+76.9%	+$174.00
$56.51	+99.0%	+$174.00

When traders use collar on HIMS

Collars on HIMS hedge an existing long HIMS 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.

HIMS thesis for this collar

The market-implied 1-standard-deviation range for HIMS extends from approximately $23.27 on the downside to $33.53 on the upside. A HIMS collar hedges an existing long HIMS 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 HIMS IV rank near 5.16% 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 HIMS at 63.01%. As a Healthcare name, HIMS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HIMS-specific events.

HIMS 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. HIMS positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HIMS alongside the broader basket even when HIMS-specific fundamentals are unchanged. Always rebuild the position from current HIMS chain quotes before placing a trade.

Frequently asked questions

What is a collar on HIMS?: A collar on HIMS is the collar strategy applied to HIMS (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 HIMS stock at $28.40 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed HIMS chain strike and the premiums come straight from that session's bid/ask midpoint.
How are HIMS 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 HIMS collar priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 63.01%), the computed maximum profit is $174.00 per contract and the computed maximum loss is -$126.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a HIMS collar?: The breakeven for the HIMS collar priced on this page is roughly $28.26 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 HIMS market-implied 1-standard-deviation expected move in the same options snapshot is approximately 18.06%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a collar on HIMS?: Collars on HIMS hedge an existing long HIMS 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 HIMS implied volatility affect this collar?: HIMS ATM IV is at 63.01% with IV rank near 5.16%, 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.