MRAM Collar Strategy
MRAM (Everspin Technologies, Inc.), in the Technology sector, (Semiconductors industry), listed on NASDAQ.
Everspin Technologies, Inc. manufactures and sells magnetoresistive random access memory (MRAM) products in the United States, Hong Kong, Japan, China, Canada, and internationally. It offers Toggle MRAM, spin-transfer torque MRAM, and tunnel magneto resistance sensor products, as well as foundry services for embedded MRAM. The company provides its products for applications, including data center, industrial, medical, automotive/transportation, and aerospace markets. It serves original equipment manufacturers and original design manufacturers through a direct sales channel and a network of representatives and distributors. Everspin Technologies, Inc. was incorporated in 2008 and is headquartered in Chandler, Arizona.
MRAM (Everspin Technologies, Inc.) trades in the Technology sector, specifically Semiconductors, with a market capitalization of approximately $972.1M, a trailing P/E of 3,377.80, a beta of 0.94 versus the broader market, a 52-week range of 5.49-51.5, average daily share volume of 1.5M, a public-listing history dating back to 2016, approximately 86 full-time employees. These structural characteristics shape how MRAM stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.94 places MRAM roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 3,377.80 is on the rich side, which tends to correlate with higher earnings-window IV expansion as the market debates whether forward growth supports the multiple.
What is a collar on MRAM?
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 MRAM snapshot
As of May 15, 2026, spot at $37.44, ATM IV 144.20%, IV rank 47.70%, expected move 41.34%. The collar on MRAM 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 MRAM specifically: IV regime affects collar pricing on both sides; mid-range MRAM IV at 144.20% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 41.34% (roughly $15.48 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 MRAM expiries trade a higher absolute premium for lower per-day decay. Position sizing on MRAM should anchor to the underlying notional of $37.44 per share and to the trader's directional view on MRAM stock.
MRAM collar setup
The MRAM 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 MRAM near $37.44, the first option leg uses a $39.31 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed MRAM 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 MRAM shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $37.44 | long |
| Sell 1 | Call | $39.31 | N/A |
| Buy 1 | Put | $35.57 | N/A |
MRAM 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.
MRAM collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on MRAM. 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 MRAM
Collars on MRAM hedge an existing long MRAM 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.
MRAM thesis for this collar
The market-implied 1-standard-deviation range for MRAM extends from approximately $21.96 on the downside to $52.92 on the upside. A MRAM collar hedges an existing long MRAM 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 MRAM IV rank near 47.70% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on MRAM should anchor more to the directional view and the expected-move geometry. As a Technology name, MRAM options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to MRAM-specific events.
MRAM 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. MRAM positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move MRAM alongside the broader basket even when MRAM-specific fundamentals are unchanged. Always rebuild the position from current MRAM chain quotes before placing a trade.
Frequently asked questions
- What is a collar on MRAM?
- A collar on MRAM is the collar strategy applied to MRAM (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 MRAM stock trading near $37.44, the strikes shown on this page are snapped to the nearest listed MRAM chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are MRAM 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 MRAM collar priced from the end-of-day chain at a 30-day expiry (ATM IV 144.20%), 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 MRAM collar?
- The breakeven for the MRAM 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 MRAM market-implied 1-standard-deviation expected move is approximately 41.34%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on MRAM?
- Collars on MRAM hedge an existing long MRAM 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 MRAM implied volatility affect this collar?
- MRAM ATM IV is at 144.20% with IV rank near 47.70%, 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.