HSAI Collar Strategy
HSAI (Hesai Group), in the Consumer Cyclical sector, (Auto - Parts industry), listed on NASDAQ.
Hesai Group, along with its various subsidiaries, focuses on the creation, production, and marketing of three-dimensional light detection and ranging (LiDAR) technologies. These sophisticated LiDAR solutions are utilized in a diverse array of applications, including advanced driver-assistance systems for both passenger and commercial automobiles, autonomous transportation services for people and goods, and specialized robotics like delivery robots, street-cleaning robots, and logistics robots operating in confined spaces. Founded in 2014, the company maintains its headquarters in Shanghai, China.
HSAI (Hesai Group) trades in the Consumer Cyclical sector, specifically Auto - Parts, with a market capitalization of approximately $1.93B, a trailing P/E of 33.26, a beta of 1.34 versus the broader market, a 52-week range of 14.4-30.85, average daily share volume of 1.8M, a public-listing history dating back to 2023, approximately 1K full-time employees. These structural characteristics shape how HSAI stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.34 indicates HSAI 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 HSAI?
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.
Current HSAI snapshot
As of June 30, 2026, spot at $18.43, ATM IV 80.80%, IV rank 46.92%, expected move 23.16%. The collar on HSAI 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 17-day expiry.
Why this collar structure on HSAI specifically: IV regime affects collar pricing on both sides; mid-range HSAI IV at 80.80% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 23.16% (roughly $4.27 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated HSAI expiries trade a higher absolute premium for lower per-day decay. Position sizing on HSAI should anchor to the underlying notional of $18.43 per share and to the trader's directional view on HSAI stock.
HSAI collar setup
The HSAI 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 HSAI near $18.43, the first option leg uses a $19.35 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HSAI chain at a 17-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 HSAI shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $18.43 | long |
| Sell 1 | Call | $19.35 | N/A |
| Buy 1 | Put | $17.51 | N/A |
HSAI 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.
HSAI collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on HSAI. 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 HSAI
Collars on HSAI hedge an existing long HSAI 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.
HSAI thesis for this collar
The market-implied 1-standard-deviation range for HSAI extends from approximately $14.16 on the downside to $22.70 on the upside. A HSAI collar hedges an existing long HSAI 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 HSAI IV rank near 46.92% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on HSAI should anchor more to the directional view and the expected-move geometry. As a Consumer Cyclical name, HSAI options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HSAI-specific events.
HSAI 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. HSAI positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HSAI alongside the broader basket even when HSAI-specific fundamentals are unchanged. Always rebuild the position from current HSAI chain quotes before placing a trade.
Frequently asked questions
- What is a collar on HSAI?
- A collar on HSAI is the collar strategy applied to HSAI (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 HSAI stock trading near $18.43, the strikes shown on this page are snapped to the nearest listed HSAI chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are HSAI 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 HSAI collar priced from the end-of-day chain at a 30-day expiry (ATM IV 80.80%), 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 HSAI collar?
- The breakeven for the HSAI collar 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 HSAI market-implied 1-standard-deviation expected move is approximately 23.16%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on HSAI?
- Collars on HSAI hedge an existing long HSAI 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 HSAI implied volatility affect this collar?
- HSAI ATM IV is at 80.80% with IV rank near 46.92%, 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.