ORLA Collar Strategy
ORLA (Orla Mining Ltd.), in the Basic Materials sector, (Gold industry), listed on AMEX.
Orla Mining Ltd. acquires, explores for, and develops mineral properties. The company explores for gold, silver, zinc, lead, and copper deposits. It owns 100% interests in the Camino Rojo project that consists of seven concessions covering an area of 163,129 hectares located in Zacatecas, Mexico; and Cerro Quema project totaling an area of 14,800 hectares located in the Azuero Peninsula, Panama. The company was formerly known as Red Mile Minerals Corp. and changed its name to Orla Mining Ltd. in June 2015. Orla Mining Ltd. was incorporated in 2007 and is headquartered in Vancouver, Canada.
ORLA (Orla Mining Ltd.) trades in the Basic Materials sector, specifically Gold, with a market capitalization of approximately $5.04B, a trailing P/E of 21.99, a beta of 1.19 versus the broader market, a 52-week range of 8.675-21.98, average daily share volume of 2.9M, a public-listing history dating back to 2017, approximately 354 full-time employees. These structural characteristics shape how ORLA stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.19 places ORLA roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. ORLA pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on ORLA?
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 ORLA snapshot
As of May 15, 2026, spot at $13.36, ATM IV 66.00%, IV rank 41.18%, expected move 18.92%. The collar on ORLA 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 ORLA specifically: IV regime affects collar pricing on both sides; mid-range ORLA IV at 66.00% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 18.92% (roughly $2.53 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 ORLA expiries trade a higher absolute premium for lower per-day decay. Position sizing on ORLA should anchor to the underlying notional of $13.36 per share and to the trader's directional view on ORLA stock.
ORLA collar setup
The ORLA 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 ORLA near $13.36, the first option leg uses a $14.03 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ORLA 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 ORLA shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $13.36 | long |
| Sell 1 | Call | $14.03 | N/A |
| Buy 1 | Put | $12.69 | N/A |
ORLA 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.
ORLA collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on ORLA. 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 ORLA
Collars on ORLA hedge an existing long ORLA 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.
ORLA thesis for this collar
The market-implied 1-standard-deviation range for ORLA extends from approximately $10.83 on the downside to $15.89 on the upside. A ORLA collar hedges an existing long ORLA 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 ORLA IV rank near 41.18% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on ORLA should anchor more to the directional view and the expected-move geometry. As a Basic Materials name, ORLA options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ORLA-specific events.
ORLA 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. ORLA positions also carry Basic Materials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ORLA alongside the broader basket even when ORLA-specific fundamentals are unchanged. Always rebuild the position from current ORLA chain quotes before placing a trade.
Frequently asked questions
- What is a collar on ORLA?
- A collar on ORLA is the collar strategy applied to ORLA (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 ORLA stock trading near $13.36, the strikes shown on this page are snapped to the nearest listed ORLA chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are ORLA 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 ORLA collar priced from the end-of-day chain at a 30-day expiry (ATM IV 66.00%), 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 ORLA collar?
- The breakeven for the ORLA 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 ORLA market-implied 1-standard-deviation expected move is approximately 18.92%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on ORLA?
- Collars on ORLA hedge an existing long ORLA 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 ORLA implied volatility affect this collar?
- ORLA ATM IV is at 66.00% with IV rank near 41.18%, 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.