MGNX Collar Strategy
MGNX (MacroGenics, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
MacroGenics, Inc., a clinical-stage biopharmaceutical company, discovers, develops, manufactures, and commercializes antibody-based therapeutics for the treatment of cancer in the United States. The company’s product pipeline includes lorigerlimab, a bispecific DART molecule that targets checkpoint inhibitors PD-1 and CTLA-4 for the treatment of mCRPC and docetaxel that is in phase 2 clinical trials, as well as for the treatment of platinum-resistant ovarian cancer and clear cell gynecologic cancer which has completed phase 1 clinical trial; MGC026, an ADC that targets B7-H3 and delivers a novel topoisomerase I inhibitor (TOP1i)-based linker-payload; MGC028, an antibody-drug conjugates (ADC) that targets ADAM9 and delivers a novel TOP1i-based linker-payload for the treatment of solid tumors, which is in phase 1 clinical trials; MGC030, a ADC molecule that targets an undisclosed antigen expressed across several solid tumors, which is in preclinical trials. It is also developing T-cell engager programs. The company has collaborations with TerSera Therapeutics LLC; Incyte Corporation; and Gilead Sciences, Inc. MacroGenics, Inc. was incorporated in 2000 and is headquartered in Rockville, Maryland.
MGNX (MacroGenics, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $255.5M, a beta of 1.22 versus the broader market, a 52-week range of 1.29-5.08, average daily share volume of 1.0M, a public-listing history dating back to 2013, approximately 293 full-time employees. These structural characteristics shape how MGNX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.22 places MGNX roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a collar on MGNX?
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.
MGNX snapshot
As of August 14, 2026, spot at $4.05, ATM IV 93.20%, IV rank 17.23%, expected move 26.72%. The collar on MGNX below is built from the end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.
Why this collar structure on MGNX specifically: IV regime affects collar pricing on both sides; compressed MGNX IV at 93.20% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 26.72% (roughly $1.08 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated MGNX expiries trade a higher absolute premium for lower per-day decay. Position sizing on MGNX should anchor to the underlying notional of $4.05 per share and to the trader's directional view on MGNX stock.
MGNX collar setup
The MGNX 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 MGNX at $4.05 on that close, the first option leg uses a $4.25 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed MGNX chain at a 35-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 MGNX shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $4.05 | long |
| Sell 1 | Call | $4.25 | N/A |
| Buy 1 | Put | $3.85 | N/A |
MGNX 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.
MGNX collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on MGNX. 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 MGNX
Collars on MGNX hedge an existing long MGNX 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.
MGNX thesis for this collar
The market-implied 1-standard-deviation range for MGNX extends from approximately $2.97 on the downside to $5.13 on the upside. A MGNX collar hedges an existing long MGNX 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 MGNX IV rank near 17.23% 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 MGNX at 93.20%. As a Healthcare name, MGNX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to MGNX-specific events.
MGNX 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. MGNX positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move MGNX alongside the broader basket even when MGNX-specific fundamentals are unchanged. Always rebuild the position from current MGNX chain quotes before placing a trade.
Frequently asked questions
- What is a collar on MGNX?
- A collar on MGNX is the collar strategy applied to MGNX (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 MGNX stock at $4.05 on the most recent close, the strikes shown on this page are snapped to the nearest listed MGNX chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are MGNX 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 MGNX collar priced from the end-of-day chain at a 30-day expiry (ATM IV 93.20%), 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 MGNX collar?
- The breakeven for the MGNX collar priced on this page is no defined breakeven on the modeled curve at expiration, derived from the end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The MGNX market-implied 1-standard-deviation expected move in the same options snapshot is approximately 26.72%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on MGNX?
- Collars on MGNX hedge an existing long MGNX 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 MGNX implied volatility affect this collar?
- MGNX ATM IV is at 93.20% with IV rank near 17.23%, 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.