SMWB Collar Strategy
SMWB (Similarweb Ltd.), in the Communication Services sector, (Internet Content & Information industry), listed on NYSE.
Similarweb Ltd. provides a platform for digital intelligence in the United States, Europe, Asia Pacific, the United Kingdom, Israel, and internationally. It offers digital research intelligence solutions that allow senior leaders, strategy, business intelligence, and consumer insights teams to benchmark performance against competitors and market leaders, analyze trends in the market, conduct deeper research into specific companies, and analyze audience behavior; and digital marketing solutions, which enable marketing leaders, search engine optimization, and content managers, pay-per-click, performance marketers, affiliate marketers, and media buyers to understand their competitors' online acquisition strategies in each marketing channel. The company also provides shopper intelligence solutions that allows digital commerce leadership, and category and product managers to analyze a view of their customers' digital journeys, monitor consumer demand, increase brand visibility in the search process, and optimize category and product level conversion in the purchase process; and sales intelligence solutions, which enables sales management and operations, sales representatives, and account management teams to access relevant buying signals and digital insights of their customers in to generate leads quickly. In addition, it offers investor intelligence solution that allows portfolio managers, investment professionals, data scientists, and research analysts to access an end-to-end view of market, sector or company performance to ideate and monitor investment opportunities, forecast market performance, and perform due diligence. The company serves retail, consumer packaged goods, travel, consumer finance, business-to-business software, and logistics companies; and consultancies, marketing and advertising agencies, media and publishers, payment processors, and institutional investors. Similarweb Ltd. was incorporated in 2009 and is headquartered in Tel Aviv, Israel.
SMWB (Similarweb Ltd.) trades in the Communication Services sector, specifically Internet Content & Information, with a market capitalization of approximately $247.8M, a beta of 1.11 versus the broader market, a 52-week range of 2.22-10.75, average daily share volume of 958K, a public-listing history dating back to 2021, approximately 1K full-time employees. These structural characteristics shape how SMWB stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.11 places SMWB roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a collar on SMWB?
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 SMWB snapshot
As of May 15, 2026, spot at $3.16, ATM IV 110.90%, IV rank 20.21%, expected move 31.79%. The collar on SMWB 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 SMWB specifically: IV regime affects collar pricing on both sides; compressed SMWB IV at 110.90% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 31.79% (roughly $1.00 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 SMWB expiries trade a higher absolute premium for lower per-day decay. Position sizing on SMWB should anchor to the underlying notional of $3.16 per share and to the trader's directional view on SMWB stock.
SMWB collar setup
The SMWB 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 SMWB near $3.16, the first option leg uses a $3.32 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SMWB 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 SMWB shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $3.16 | long |
| Sell 1 | Call | $3.32 | N/A |
| Buy 1 | Put | $3.00 | N/A |
SMWB 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.
SMWB collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on SMWB. 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 SMWB
Collars on SMWB hedge an existing long SMWB 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.
SMWB thesis for this collar
The market-implied 1-standard-deviation range for SMWB extends from approximately $2.16 on the downside to $4.16 on the upside. A SMWB collar hedges an existing long SMWB 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 SMWB IV rank near 20.21% 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 SMWB at 110.90%. As a Communication Services name, SMWB options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SMWB-specific events.
SMWB 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. SMWB positions also carry Communication Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SMWB alongside the broader basket even when SMWB-specific fundamentals are unchanged. Always rebuild the position from current SMWB chain quotes before placing a trade.
Frequently asked questions
- What is a collar on SMWB?
- A collar on SMWB is the collar strategy applied to SMWB (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 SMWB stock trading near $3.16, the strikes shown on this page are snapped to the nearest listed SMWB chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are SMWB 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 SMWB collar priced from the end-of-day chain at a 30-day expiry (ATM IV 110.90%), 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 SMWB collar?
- The breakeven for the SMWB 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 SMWB market-implied 1-standard-deviation expected move is approximately 31.79%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on SMWB?
- Collars on SMWB hedge an existing long SMWB 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 SMWB implied volatility affect this collar?
- SMWB ATM IV is at 110.90% with IV rank near 20.21%, 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.