WYY Collar Strategy
WYY (WidePoint Corporation), in the Technology sector, (Information Technology Services industry), listed on AMEX.
WidePoint Corporation provides technology management as a service (TMaaS) to the government and business enterprises in North America and Europe. It offers TMaaS solutions through a federal government certified proprietary portal to manage, analyze, and protect communications assets, as well as deploy identity management solutions that provide secured virtual and physical access to restricted environments. The company provides telecom lifecycle management, mobile and identity management, and digital billing and analytics solutions. It also offers information technology as a service, including cybersecurity, cloud, network operation, and professional services. WidePoint Corporation was founded in 1991 and is headquartered in Fairfax, Virginia.
WYY (WidePoint Corporation) trades in the Technology sector, specifically Information Technology Services, with a market capitalization of approximately $81.4M, a beta of 1.59 versus the broader market, a 52-week range of 2.8-10.49, average daily share volume of 63K, a public-listing history dating back to 1998, approximately 240 full-time employees. These structural characteristics shape how WYY stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.59 indicates WYY has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.
What is a collar on WYY?
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 WYY snapshot
As of May 15, 2026, spot at $10.18, ATM IV 134.40%, IV rank 40.90%, expected move 38.53%. The collar on WYY 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 WYY specifically: IV regime affects collar pricing on both sides; mid-range WYY IV at 134.40% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 38.53% (roughly $3.92 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 WYY expiries trade a higher absolute premium for lower per-day decay. Position sizing on WYY should anchor to the underlying notional of $10.18 per share and to the trader's directional view on WYY stock.
WYY collar setup
The WYY 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 WYY near $10.18, the first option leg uses a $10.69 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed WYY 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 WYY shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $10.18 | long |
| Sell 1 | Call | $10.69 | N/A |
| Buy 1 | Put | $9.67 | N/A |
WYY 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.
WYY collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on WYY. 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 WYY
Collars on WYY hedge an existing long WYY 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.
WYY thesis for this collar
The market-implied 1-standard-deviation range for WYY extends from approximately $6.26 on the downside to $14.10 on the upside. A WYY collar hedges an existing long WYY 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 WYY IV rank near 40.90% is mid-range against its 1-year distribution, so the IV signal is neutral; the collar thesis on WYY should anchor more to the directional view and the expected-move geometry. As a Technology name, WYY options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to WYY-specific events.
WYY 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. WYY positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move WYY alongside the broader basket even when WYY-specific fundamentals are unchanged. Always rebuild the position from current WYY chain quotes before placing a trade.
Frequently asked questions
- What is a collar on WYY?
- A collar on WYY is the collar strategy applied to WYY (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 WYY stock trading near $10.18, the strikes shown on this page are snapped to the nearest listed WYY chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are WYY 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 WYY collar priced from the end-of-day chain at a 30-day expiry (ATM IV 134.40%), 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 WYY collar?
- The breakeven for the WYY 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 WYY market-implied 1-standard-deviation expected move is approximately 38.53%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on WYY?
- Collars on WYY hedge an existing long WYY 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 WYY implied volatility affect this collar?
- WYY ATM IV is at 134.40% with IV rank near 40.90%, 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.