XNCR Collar Strategy
XNCR (Xencor, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Xencor, Inc., a clinical stage biopharmaceutical company, focuses on the discovery and development of engineered monoclonal antibody and cytokine therapeutics to treat patients with cancer and autoimmune diseases. The company provides Sotrovimab that targets the SARS-CoV-2 virus; Ultomiris for the treatment of patients with paroxysmal nocturnal hemoglobinuria and atypical hemolytic uremic syndrome; and Monjuvi for the treatment of patients with relapsed or refractory diffuse large B-cell lymphoma. It develops Plamotamab, a tumor-targeted antibody, which is in Phase I clinical trial to treat non-Hodgkin lymphoma; Vudalimab, a bispecific antibody, which is in Phase II clinical trial to treat metastatic castration-resistant prostate cancer and other solid tumor types; and Tidutamab that is in Phase II clinical trial to treat neuroendocrine tumors. The company is also developing XmAb306, which is in Phase I clinical trial to treat solid tumors; XmAb104 and XmAb841, which are in Phase I clinical trial to treat patients with selected solid tumors; XmAb564 that is in Phase I clinical trial to treat autoimmune diseases; AMG 509, which is in Phase I clinical trial to treat prostate cancer; XmAb819 for patients with renal cell carcinoma; and Novartis XmAb. It develops VIR-3434, which is in Phase II clinical trial for patients with hepatitis B virus infection; VIR-2482 that is in Phase 1/2 clinical trial to trat influenza A; VIR-7832, which is in Phase 1b/2a trial to treat mild-to-moderate COVID-19; and BMS-986414 + BMS-986413 is in Phase 2/3 NIH ACTIV-2 trial in treating COVID-19. The company develops AIMab7195 to reduce blood serum levels of IgE that mediates allergic responses and allergic disease; Obexelimab to treat autoimmune disease; and Xpro1595 to treat patients with Alzheimer's disease, mild cognitive impairment, and depression.
XNCR (Xencor, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $917.9M, a beta of 0.93 versus the broader market, a 52-week range of 6.92-18.69, average daily share volume of 847K, a public-listing history dating back to 2013, approximately 250 full-time employees. These structural characteristics shape how XNCR stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.93 places XNCR roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a collar on XNCR?
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 XNCR snapshot
As of May 15, 2026, spot at $11.35, ATM IV 73.30%, IV rank 10.05%, expected move 21.01%. The collar on XNCR 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 XNCR specifically: IV regime affects collar pricing on both sides; compressed XNCR IV at 73.30% typically pushes the short call premium to roughly offset the long put cost, with a market-implied 1-standard-deviation move of approximately 21.01% (roughly $2.39 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 XNCR expiries trade a higher absolute premium for lower per-day decay. Position sizing on XNCR should anchor to the underlying notional of $11.35 per share and to the trader's directional view on XNCR stock.
XNCR collar setup
The XNCR 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 XNCR near $11.35, the first option leg uses a $11.92 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed XNCR 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 XNCR shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 100 shares | Stock | $11.35 | long |
| Sell 1 | Call | $11.92 | N/A |
| Buy 1 | Put | $10.78 | N/A |
XNCR 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.
XNCR collar payoff curve
Modeled P&L at expiration across a range of underlying prices for the collar on XNCR. 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 XNCR
Collars on XNCR hedge an existing long XNCR 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.
XNCR thesis for this collar
The market-implied 1-standard-deviation range for XNCR extends from approximately $8.96 on the downside to $13.74 on the upside. A XNCR collar hedges an existing long XNCR 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 XNCR IV rank near 10.05% 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 XNCR at 73.30%. As a Healthcare name, XNCR options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to XNCR-specific events.
XNCR 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. XNCR positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move XNCR alongside the broader basket even when XNCR-specific fundamentals are unchanged. Always rebuild the position from current XNCR chain quotes before placing a trade.
Frequently asked questions
- What is a collar on XNCR?
- A collar on XNCR is the collar strategy applied to XNCR (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 XNCR stock trading near $11.35, the strikes shown on this page are snapped to the nearest listed XNCR chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are XNCR 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 XNCR collar priced from the end-of-day chain at a 30-day expiry (ATM IV 73.30%), 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 XNCR collar?
- The breakeven for the XNCR 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 XNCR market-implied 1-standard-deviation expected move is approximately 21.01%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a collar on XNCR?
- Collars on XNCR hedge an existing long XNCR 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 XNCR implied volatility affect this collar?
- XNCR ATM IV is at 73.30% with IV rank near 10.05%, 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.