How are TNGX 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 TNGX collar priced from the end-of-day chain at a 30-day expiry (ATM IV 61.40%), the computed maximum profit is $213.00 per contract and the computed maximum loss is -$87.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a TNGX collar?

The breakeven for the TNGX collar priced on this page is roughly $30.87 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 TNGX market-implied 1-standard-deviation expected move is approximately 17.60%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current TNGX implied volatility affect this collar?

TNGX ATM IV is at 61.40% with IV rank near 0.00%, 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.

TNGX Collar Strategy

TNGX (Tango Therapeutics, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.

Tango Therapeutics, Inc. is a biotechnology firm dedicated to the research and development of innovative cancer treatments. Their primary therapeutic candidate, TNG908, is a synthetic lethal small molecule designed to inhibit protein arginine methyltransferase 5 (PRMT5). This compound is currently being advanced as a potential therapy for cancers characterized by methylthioadenosine phosphorylase (MTAP) deletions. Additionally, their pipeline includes an Ubiquitin-specific protease 1 (USP1) inhibitor targeting BRCA1 or BRCA2-mutant cancers, and a program known as 'Target 3' which addresses STK11-mutant cancers. Tango Therapeutics maintains a strategic alliance with Gilead Sciences, Inc., focused on the identification, advancement, and commercialization of a diverse array of cancer therapies. Established in 2017, the company's operations are headquartered in Cambridge, Massachusetts.

TNGX (Tango Therapeutics, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $3.92B, a beta of 1.19 versus the broader market, a 52-week range of 4.8-34.39, average daily share volume of 3.9M, a public-listing history dating back to 2020, approximately 155 full-time employees. These structural characteristics shape how TNGX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.19 places TNGX roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.

What is a collar on TNGX?

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 TNGX snapshot

As of June 30, 2026, spot at $31.27, ATM IV 61.40%, IV rank 0.00%, expected move 17.60%. The collar on TNGX 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 17-day expiry.

Why this collar structure on TNGX specifically: IV regime affects collar pricing on both sides; compressed TNGX IV at 61.40% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 17.60% (roughly $5.50 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated TNGX expiries trade a higher absolute premium for lower per-day decay. Position sizing on TNGX should anchor to the underlying notional of $31.27 per share and to the trader's directional view on TNGX stock.

TNGX collar setup

The TNGX 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 TNGX near $31.27, the first option leg uses a $33.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed TNGX chain at a 17-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 TNGX shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 100 shares	Stock	$31.27	long
Sell 1	Call	$33.00	$1.30
Buy 1	Put	$30.00	$0.90

TNGX collar risk and reward

Net Premium / Debit: -$3,087.00
Max Profit (per contract): $213.00
Max Loss (per contract): -$87.00
Breakeven(s): $30.87
Risk / Reward Ratio: 2.448

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.

TNGX collar payoff curve

Modeled P&L at expiration across a range of underlying prices for the collar on TNGX. 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.

P&L at expiration across the modeled underlying-price range. Green shading marks profitable regions, red shading marks loss regions. Dotted purple verticals mark breakevens; the solid dark vertical marks current spot.

Underlying Price	% From Spot	P&L at Expiration
$0.01	-100.0%	-$87.00
$6.92	-77.9%	-$87.00
$13.84	-55.8%	-$87.00
$20.75	-33.6%	-$87.00
$27.66	-11.5%	-$87.00
$34.57	+10.6%	+$213.00
$41.49	+32.7%	+$213.00
$48.40	+54.8%	+$213.00
$55.31	+76.9%	+$213.00
$62.23	+99.0%	+$213.00

When traders use collar on TNGX

Collars on TNGX hedge an existing long TNGX 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.

TNGX thesis for this collar

The market-implied 1-standard-deviation range for TNGX extends from approximately $25.77 on the downside to $36.77 on the upside. A TNGX collar hedges an existing long TNGX 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 TNGX IV rank near 0.00% 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 TNGX at 61.40%. As a Healthcare name, TNGX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to TNGX-specific events.

TNGX 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. TNGX positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move TNGX alongside the broader basket even when TNGX-specific fundamentals are unchanged. Always rebuild the position from current TNGX chain quotes before placing a trade.

Frequently asked questions

What is a collar on TNGX?: A collar on TNGX is the collar strategy applied to TNGX (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 TNGX stock trading near $31.27, the strikes shown on this page are snapped to the nearest listed TNGX chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are TNGX 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 TNGX collar priced from the end-of-day chain at a 30-day expiry (ATM IV 61.40%), the computed maximum profit is $213.00 per contract and the computed maximum loss is -$87.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a TNGX collar?: The breakeven for the TNGX collar priced on this page is roughly $30.87 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 TNGX market-implied 1-standard-deviation expected move is approximately 17.60%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a collar on TNGX?: Collars on TNGX hedge an existing long TNGX 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 TNGX implied volatility affect this collar?: TNGX ATM IV is at 61.40% with IV rank near 0.00%, 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.