HST Collar Strategy
HST (Host Hotels & Resorts, Inc.), in the Real Estate sector, (REIT - Hotel & Motel industry), listed on NASDAQ.
Host Hotels & Resorts, Inc. is an S&P 500 company and is the largest lodging real estate investment trust and one of the largest owners of luxury and upper-upscale hotels. The Company currently owns 74 properties in the United States and five properties internationally totaling approximately 46,100 rooms. The Company also holds non-controlling interests in six domestic and one international joint ventures. Guided by a disciplined approach to capital allocation and aggressive asset management, the Company partners with premium brands such as Marriott®, Ritz-Carlton®, Westin®, Sheraton®, W®, St. Regis®, The Luxury Collection®, Hyatt®, Fairmont®, Hilton®, Swissôtel®, ibis® and Novotel®, as well as independent brands. For additional information, please visit the Company's website at www.hosthotels.com.
HST (Host Hotels & Resorts, Inc.) trades in the Real Estate sector, specifically REIT - Hotel & Motel, with a market capitalization of approximately $14.77B, a trailing P/E of 14.77, a beta of 1.12 versus the broader market, a 52-week range of 14.46-22.39, average daily share volume of 9.0M, a public-listing history dating back to 1980, approximately 165 full-time employees. These structural characteristics shape how HST stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.12 places HST roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. HST pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on HST?
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 HST snapshot
As of May 15, 2026, spot at $21.27, ATM IV 28.20%, IV rank 35.17%, expected move 8.08%. The collar on HST 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 63-day expiry.
Why this collar structure on HST specifically: IV regime affects collar pricing on both sides; mid-range HST IV at 28.20% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 8.08% (roughly $1.72 on the underlying). The 63-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated HST expiries trade a higher absolute premium for lower per-day decay. Position sizing on HST should anchor to the underlying notional of $21.27 per share and to the trader's directional view on HST stock.
HST collar setup
The HST 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 HST near $21.27, the first option leg uses a $21.85 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HST chain at a 63-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 HST shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $21.27 | long |
| Sell 1 | Call | $21.85 | $0.70 |
| Buy 1 | Put | $19.85 | $0.50 |
HST collar risk and reward
- Net Premium / Debit
- -$2,107.00
- Max Profit (per contract)
- $78.00
- Max Loss (per contract)
- -$122.00
- Breakeven(s)
- $21.07
- Risk / Reward Ratio
- 0.639
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.
HST collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on HST. 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% | -$122.00 |
| $4.71 | -77.8% | -$122.00 |
| $9.41 | -55.7% | -$122.00 |
| $14.12 | -33.6% | -$122.00 |
| $18.82 | -11.5% | -$122.00 |
| $23.52 | +10.6% | +$78.00 |
| $28.22 | +32.7% | +$78.00 |
| $32.92 | +54.8% | +$78.00 |
| $37.62 | +76.9% | +$78.00 |
| $42.33 | +99.0% | +$78.00 |
When traders use collar on HST
Collars on HST hedge an existing long HST 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.
HST thesis for this collar
The market-implied 1-standard-deviation range for HST extends from approximately $19.55 on the downside to $22.99 on the upside. A HST collar hedges an existing long HST 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 HST IV rank near 35.17% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on HST should anchor more to the directional view and the expected-move geometry. As a Real Estate name, HST options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HST-specific events.
HST 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. HST positions also carry Real Estate sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HST alongside the broader basket even when HST-specific fundamentals are unchanged. Always rebuild the position from current HST chain quotes before placing a trade.
Frequently asked questions
- What is a collar on HST?
- A collar on HST is the collar strategy applied to HST (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 HST stock trading near $21.27, the strikes shown on this page are snapped to the nearest listed HST chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are HST 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 HST collar priced from the end-of-day chain at a 30-day expiry (ATM IV 28.20%), the computed maximum profit is $78.00 per contract and the computed maximum loss is -$122.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a HST collar?
- The breakeven for the HST collar priced on this page is roughly $21.07 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 HST market-implied 1-standard-deviation expected move is approximately 8.08%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on HST?
- Collars on HST hedge an existing long HST 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 HST implied volatility affect this collar?
- HST ATM IV is at 28.20% with IV rank near 35.17%, 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.