NMTC Collar Strategy
NMTC (NeuroOne Medical Technologies Corporation), in the Healthcare sector, (Medical - Devices industry), listed on NASDAQ.
NeuroOne Medical Technologies Corporation functions as a specialized medical technology enterprise. Its core mission involves the invention and market deployment of sophisticated thin-film electrode systems. These systems are crafted for diverse neurophysiological applications, such as the continuous recording of electroencephalograms (cEEG) and stereoelectroencephalograms (sEEG), as well as therapeutic interventions including spinal cord stimulation, brain stimulation, and ablation procedures. The technology aims to assist individuals afflicted by conditions like epilepsy, Parkinson's disease, dystonia, essential tremors, persistent pain arising from unsuccessful back surgeries, and a variety of other neurological disorders. Furthermore, the company has forged a crucial partnership with RBC Medical Innovations to engineer a radio frequency ablation generator. This generator is designed to integrate seamlessly with NeuroOne's unique dual-function electrode, allowing for both the precise monitoring of brain electrical activity and the targeted ablation of brain tissue using a singular instrument.
NMTC (NeuroOne Medical Technologies Corporation) trades in the Healthcare sector, specifically Medical - Devices, with a market capitalization of approximately $29.1M, a beta of 0.51 versus the broader market, a 52-week range of 3.075-6.96, average daily share volume of 39K, a public-listing history dating back to 2018, approximately 17 full-time employees. These structural characteristics shape how NMTC stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.51 indicates NMTC has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure.
What is a collar on NMTC?
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 NMTC snapshot
As of June 29, 2026, spot at $3.32, ATM IV 211.80%, IV rank 40.20%, expected move 60.72%. The collar on NMTC 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 18-day expiry.
Why this collar structure on NMTC specifically: IV regime affects collar pricing on both sides; mid-range NMTC IV at 211.80% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 60.72% (roughly $2.02 on the underlying). The 18-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated NMTC expiries trade a higher absolute premium for lower per-day decay. Position sizing on NMTC should anchor to the underlying notional of $3.32 per share and to the trader's directional view on NMTC stock.
NMTC collar setup
The NMTC 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 NMTC near $3.32, the first option leg uses a $3.49 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed NMTC chain at a 18-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 NMTC shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $3.32 | long |
| Sell 1 | Call | $3.49 | N/A |
| Buy 1 | Put | $3.15 | N/A |
NMTC 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.
NMTC collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on NMTC. 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 NMTC
Collars on NMTC hedge an existing long NMTC 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.
NMTC thesis for this collar
The market-implied 1-standard-deviation range for NMTC extends from approximately $1.30 on the downside to $5.34 on the upside. A NMTC collar hedges an existing long NMTC 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 NMTC IV rank near 40.20% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on NMTC should anchor more to the directional view and the expected-move geometry. As a Healthcare name, NMTC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to NMTC-specific events.
NMTC 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. NMTC positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move NMTC alongside the broader basket even when NMTC-specific fundamentals are unchanged. Always rebuild the position from current NMTC chain quotes before placing a trade.
Frequently asked questions
- What is a collar on NMTC?
- A collar on NMTC is the collar strategy applied to NMTC (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 NMTC stock trading near $3.32, the strikes shown on this page are snapped to the nearest listed NMTC chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are NMTC 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 NMTC collar priced from the end-of-day chain at a 30-day expiry (ATM IV 211.80%), 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 NMTC collar?
- The breakeven for the NMTC 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 NMTC market-implied 1-standard-deviation expected move is approximately 60.72%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on NMTC?
- Collars on NMTC hedge an existing long NMTC 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 NMTC implied volatility affect this collar?
- NMTC ATM IV is at 211.80% with IV rank near 40.20%, 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.