IMMR Collar Strategy
IMMR (Immersion Corporation), in the Technology sector, (Software - Application industry), listed on NASDAQ.
Immersion Corporation, through its affiliated entities, specializes in the innovation, development, and licensing of haptic technologies. These advancements enable individuals to engage with and perceive digital products via their sense of touch across markets in North America, Europe, and Asia. The company's commercial portfolio includes technology, patent, and bundled licensing agreements. Furthermore, Immersion provides comprehensive Software Development Kits (SDKs), which incorporate essential tools, integration software, and effect libraries designed to facilitate the creation, encoding, and playback of nuanced tactile feedback within digital content. Its additional services encompass reference designs, core reference technology, expert engineering and integration assistance, and tailored software and firmware solutions. The company's offerings find application in a wide array of sectors, such as mobile communications, wearable devices, consumer electronics, gaming, virtual reality (VR), and the automotive industry, among others.
IMMR (Immersion Corporation) trades in the Technology sector, specifically Software - Application, with a market capitalization of approximately $232.4M, a beta of 1.01 versus the broader market, a 52-week range of 5.25-8.15, average daily share volume of 609K, a public-listing history dating back to 1999, approximately 14 full-time employees. These structural characteristics shape how IMMR stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.01 places IMMR roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. IMMR pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on IMMR?
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 IMMR snapshot
As of June 30, 2026, spot at $6.84, ATM IV 57.40%, IV rank 21.21%, expected move 16.46%. The collar on IMMR 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 IMMR specifically: IV regime affects collar pricing on both sides; compressed IMMR IV at 57.40% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 16.46% (roughly $1.13 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 IMMR expiries trade a higher absolute premium for lower per-day decay. Position sizing on IMMR should anchor to the underlying notional of $6.84 per share and to the trader's directional view on IMMR stock.
IMMR collar setup
The IMMR 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 IMMR near $6.84, the first option leg uses a $7.18 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed IMMR 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 IMMR shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $6.84 | long |
| Sell 1 | Call | $7.18 | N/A |
| Buy 1 | Put | $6.50 | N/A |
IMMR 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.
IMMR collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on IMMR. 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 IMMR
Collars on IMMR hedge an existing long IMMR 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.
IMMR thesis for this collar
The market-implied 1-standard-deviation range for IMMR extends from approximately $5.71 on the downside to $7.97 on the upside. A IMMR collar hedges an existing long IMMR 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 IMMR IV rank near 21.21% 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 IMMR at 57.40%. As a Technology name, IMMR options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to IMMR-specific events.
IMMR 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. IMMR positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move IMMR alongside the broader basket even when IMMR-specific fundamentals are unchanged. Always rebuild the position from current IMMR chain quotes before placing a trade.
Frequently asked questions
- What is a collar on IMMR?
- A collar on IMMR is the collar strategy applied to IMMR (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 IMMR stock trading near $6.84, the strikes shown on this page are snapped to the nearest listed IMMR chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are IMMR 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 IMMR collar priced from the end-of-day chain at a 30-day expiry (ATM IV 57.40%), 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 IMMR collar?
- The breakeven for the IMMR 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 IMMR market-implied 1-standard-deviation expected move is approximately 16.46%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on IMMR?
- Collars on IMMR hedge an existing long IMMR 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 IMMR implied volatility affect this collar?
- IMMR ATM IV is at 57.40% with IV rank near 21.21%, 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.