HTLD Collar Strategy
HTLD (Heartland Express, Inc.), in the Industrials sector, (Trucking industry), listed on NASDAQ.
Heartland Express, Inc., operating with its subsidiaries, functions as a transportation company primarily focusing on short to medium-distance truckload freight across the United States and Canada. The firm's main services encompass extensive asset-based dry van truckload hauling, covering the entire contiguous U.S. from coast to coast, as well as specialized temperature-controlled logistics. These services are delivered under its prominent brand names, Heartland Express and Millis Transfer. Its customer base largely comprises retailers and manufacturers within the consumer goods, appliance, foodstuff, and automotive industries. The company was established in 1978 and is headquartered in North Liberty, Iowa.
HTLD (Heartland Express, Inc.) trades in the Industrials sector, specifically Trucking, with a market capitalization of approximately $1.20B, a beta of 1.31 versus the broader market, a 52-week range of 7-16.64, average daily share volume of 549K, a public-listing history dating back to 1986, approximately 5K full-time employees. These structural characteristics shape how HTLD stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.31 indicates HTLD has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. HTLD pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on HTLD?
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 HTLD snapshot
As of June 30, 2026, spot at $15.29, ATM IV 102.60%, IV rank 70.26%, expected move 29.41%. The collar on HTLD 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 HTLD specifically: IV regime affects collar pricing on both sides; elevated HTLD IV at 102.60% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 29.41% (roughly $4.50 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 HTLD expiries trade a higher absolute premium for lower per-day decay. Position sizing on HTLD should anchor to the underlying notional of $15.29 per share and to the trader's directional view on HTLD stock.
HTLD collar setup
The HTLD 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 HTLD near $15.29, the first option leg uses a $16.05 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HTLD 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 HTLD shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $15.29 | long |
| Sell 1 | Call | $16.05 | N/A |
| Buy 1 | Put | $14.53 | N/A |
HTLD 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.
HTLD collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on HTLD. 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 HTLD
Collars on HTLD hedge an existing long HTLD 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.
HTLD thesis for this collar
The market-implied 1-standard-deviation range for HTLD extends from approximately $10.79 on the downside to $19.79 on the upside. A HTLD collar hedges an existing long HTLD 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 HTLD IV rank near 70.26% sits in the upper third of its 1-year distribution, which historically reverts; this raises the bar for premium-buying structures and lowers it for premium-selling structures on HTLD at 102.60%. As a Industrials name, HTLD options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HTLD-specific events.
HTLD 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. HTLD positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HTLD alongside the broader basket even when HTLD-specific fundamentals are unchanged. Always rebuild the position from current HTLD chain quotes before placing a trade.
Frequently asked questions
- What is a collar on HTLD?
- A collar on HTLD is the collar strategy applied to HTLD (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 HTLD stock trading near $15.29, the strikes shown on this page are snapped to the nearest listed HTLD chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are HTLD 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 HTLD collar priced from the end-of-day chain at a 30-day expiry (ATM IV 102.60%), 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 HTLD collar?
- The breakeven for the HTLD 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 HTLD market-implied 1-standard-deviation expected move is approximately 29.41%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on HTLD?
- Collars on HTLD hedge an existing long HTLD 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 HTLD implied volatility affect this collar?
- HTLD ATM IV is at 102.60% with IV rank near 70.26%, which is elevated relative to its 1-year range. Premium-selling structures (covered call, cash-secured put, iron condor) generally look more attractive when IV rank is high; premium-buying structures (long call, long put, debit spreads) are more expensive in that regime.