LTH Collar Strategy
LTH (Life Time Group Holdings, Inc.), in the Consumer Cyclical sector, (Leisure industry), listed on NYSE.
Life Time Group Holdings, Inc. provides health, fitness, and wellness experiences to a community of individual members in the United States and Canada. It primarily engages in designing, building, and operating sports and athletic, professional fitness, family recreation, and spa centers in a resort-like environment, principally in suburban and urban locations of metropolitan areas. The company also offers fitness floors with equipment, locker rooms, group fitness studios, indoor and outdoor pools, bistros, indoor and outdoor tennis courts, basketball courts, LifeSpa, LifeCafe, and childcare and Kids Academy learning spaces. Its Life Time Digital provides live streaming fitness classes, remote goal-based personal training, nutrition and weight loss support, curated award-winning health, and fitness and wellness content, as well as access to Apple Fitness+ that offers members content and wellness data monitoring. The company is also involved in media activities, conducting athletic events, and provision of related services. As of December 31, 2021, it operated 151 centers in 29 states and one Canadian Province, 63 of which were owned, including ground leases and 88 of which were leased.
LTH (Life Time Group Holdings, Inc.) trades in the Consumer Cyclical sector, specifically Leisure, with a market capitalization of approximately $7.52B, a trailing P/E of 19.44, a beta of 1.50 versus the broader market, a 52-week range of 24.14-34.075, average daily share volume of 3.3M, a public-listing history dating back to 2021, approximately 43K full-time employees. These structural characteristics shape how LTH stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.50 indicates LTH 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 LTH?
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 LTH snapshot
As of May 15, 2026, spot at $33.73, ATM IV 30.00%, IV rank 13.53%, expected move 8.60%. The collar on LTH 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 34-day expiry.
Why this collar structure on LTH specifically: IV regime affects collar pricing on both sides; compressed LTH IV at 30.00% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 8.60% (roughly $2.90 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated LTH expiries trade a higher absolute premium for lower per-day decay. Position sizing on LTH should anchor to the underlying notional of $33.73 per share and to the trader's directional view on LTH stock.
LTH collar setup
The LTH 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 LTH near $33.73, the first option leg uses a $35.42 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed LTH chain at a 34-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 LTH shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $33.73 | long |
| Sell 1 | Call | $35.42 | N/A |
| Buy 1 | Put | $32.04 | N/A |
LTH 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.
LTH collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on LTH. 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 LTH
Collars on LTH hedge an existing long LTH 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.
LTH thesis for this collar
The market-implied 1-standard-deviation range for LTH extends from approximately $30.83 on the downside to $36.63 on the upside. A LTH collar hedges an existing long LTH 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 LTH IV rank near 13.53% 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 LTH at 30.00%. As a Consumer Cyclical name, LTH options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to LTH-specific events.
LTH 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. LTH positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move LTH alongside the broader basket even when LTH-specific fundamentals are unchanged. Always rebuild the position from current LTH chain quotes before placing a trade.
Frequently asked questions
- What is a collar on LTH?
- A collar on LTH is the collar strategy applied to LTH (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 LTH stock trading near $33.73, the strikes shown on this page are snapped to the nearest listed LTH chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are LTH 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 LTH collar priced from the end-of-day chain at a 30-day expiry (ATM IV 30.00%), 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 LTH collar?
- The breakeven for the LTH 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 LTH market-implied 1-standard-deviation expected move is approximately 8.60%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on LTH?
- Collars on LTH hedge an existing long LTH 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 LTH implied volatility affect this collar?
- LTH ATM IV is at 30.00% with IV rank near 13.53%, 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.