SNX Collar Strategy
SNX (TD Synnex Corp), in the Technology sector, (Technology Distributors industry), listed on NYSE.
TD SYNNEX Corporation operates as a distributor and solutions aggregator for the information technology (IT) ecosystem in the United States, Europe, and internationally. It offers endpoint solutions, including personal computing devices and peripherals, mobile phones and accessories, printers, and supplies; and advanced solutions comprising data center technologies, such as hybrid cloud, security, storage, networking, servers, software, converged and hyper-converged infrastructure, and hyperscale infrastructure. The company also provides design, integration, test and other production value-added solutions, such as thermal testing, power-draw efficiency testing, burn-in, quality, and logistics support; logistics and field services; depot repair and customer management services; and cloud services, including public cloud solutions in productivity and collaboration, infrastructure as a service, platform as a service, software as a service, security, mobility, AI, and other hybrid solutions. In addition, it offers online services; financing options, including net terms, third party leasing, floor plan financing and letters-of-credit backed financing and arrangements, as well lease products to reseller customers and their end-users and provides device-as-a-service to end-users; and marketing services comprising direct mail, external media advertising, reseller product training, targeted telemarketing campaigns, national and regional trade shows, trade groups, database analysis, print on demand services, and web-based marketing. It serves value-added resellers, corporate resellers, government resellers, system integrators, direct marketers, retailers, and managed service providers. The company was formerly known as SYNNEX Corporation and changed its name to TD SYNNEX Corporation in September 2021.
SNX (TD Synnex Corp) trades in the Technology sector, specifically Technology Distributors, with a market capitalization of approximately $21.41B, a trailing P/E of 18.69, a beta of 1.44 versus the broader market, a 52-week range of 133.78-296.47, average daily share volume of 915K, a public-listing history dating back to 2003, approximately 24K full-time employees. These structural characteristics shape how SNX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.44 indicates SNX has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. SNX pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a collar on SNX?
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 SNX snapshot
As of June 29, 2026, spot at $266.80, ATM IV 43.40%, IV rank 70.77%, expected move 12.44%. The collar on SNX 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 SNX specifically: IV regime affects collar pricing on both sides; elevated SNX IV at 43.40% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 12.44% (roughly $33.20 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 SNX expiries trade a higher absolute premium for lower per-day decay. Position sizing on SNX should anchor to the underlying notional of $266.80 per share and to the trader's directional view on SNX stock.
SNX collar setup
The SNX 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 SNX near $266.80, the first option leg uses a $280.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SNX 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 SNX shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $266.80 | long |
| Sell 1 | Call | $280.00 | $5.05 |
| Buy 1 | Put | $250.00 | $4.15 |
SNX collar risk and reward
- Net Premium / Debit
- -$26,590.00
- Max Profit (per contract)
- $1,410.00
- Max Loss (per contract)
- -$1,590.00
- Breakeven(s)
- $265.90
- Risk / Reward Ratio
- 0.887
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.
SNX collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on SNX. 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.
| Underlying Price | % From Spot | P&L at Expiration |
|---|---|---|
| $0.01 | -100.0% | -$1,590.00 |
| $59.00 | -77.9% | -$1,590.00 |
| $117.99 | -55.8% | -$1,590.00 |
| $176.98 | -33.7% | -$1,590.00 |
| $235.97 | -11.6% | -$1,590.00 |
| $294.96 | +10.6% | +$1,410.00 |
| $353.95 | +32.7% | +$1,410.00 |
| $412.94 | +54.8% | +$1,410.00 |
| $471.93 | +76.9% | +$1,410.00 |
| $530.92 | +99.0% | +$1,410.00 |
When traders use collar on SNX
Collars on SNX hedge an existing long SNX 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.
SNX thesis for this collar
The market-implied 1-standard-deviation range for SNX extends from approximately $233.60 on the downside to $300.00 on the upside. A SNX collar hedges an existing long SNX 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 SNX IV rank near 70.77% sits in the upper third of its 1-year distribution, which historically reverts; this raises the bar for premium-buying structures and lowers it for premium-selling structures on SNX at 43.40%. As a Technology name, SNX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SNX-specific events.
SNX 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. SNX positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SNX alongside the broader basket even when SNX-specific fundamentals are unchanged. Always rebuild the position from current SNX chain quotes before placing a trade.
Frequently asked questions
- What is a collar on SNX?
- A collar on SNX is the collar strategy applied to SNX (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 SNX stock trading near $266.80, the strikes shown on this page are snapped to the nearest listed SNX chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are SNX 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 SNX collar priced from the end-of-day chain at a 30-day expiry (ATM IV 43.40%), the computed maximum profit is $1,410.00 per contract and the computed maximum loss is -$1,590.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a SNX collar?
- The breakeven for the SNX collar priced on this page is roughly $265.90 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 SNX market-implied 1-standard-deviation expected move is approximately 12.44%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on SNX?
- Collars on SNX hedge an existing long SNX 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 SNX implied volatility affect this collar?
- SNX ATM IV is at 43.40% with IV rank near 70.77%, which is elevated relative to its 1-year range. Premium-selling structures (covered call, cash-secured put, iron condor) generally look more attractive when IV rank is high; premium-buying structures (long call, long put, debit spreads) are more expensive in that regime.