How are HAIL butterfly max profit and max loss calculated?

Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the HAIL butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 30.90%), the computed maximum profit is $152.42 per contract and the computed maximum loss is -$30.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a HAIL butterfly?

The breakeven for the HAIL butterfly priced on this page is roughly $38.30 and $41.70 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 HAIL market-implied 1-standard-deviation expected move is approximately 8.86%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current HAIL implied volatility affect this butterfly?

HAIL ATM IV is at 30.90% with IV rank near 5.62%, 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.

HAIL Butterfly Strategy

HAIL (State Street SPDR S&P Kensho Smart Mobility ETF), in the Financial Services sector, (Asset Management - Global industry), listed on AMEX.

The State Street SPDR S&P Kensho Smart Mobility ETF (HAIL) is engineered to closely track the total return performance of the S&P Kensho Smart Transportation Index, excluding fees and expenses. This index spotlights companies that are pioneering advancements in intelligent transportation. Such innovations include firms developing autonomous and connected vehicle technologies, those involved with drones and related systems for commercial and civilian applications, and companies creating sophisticated solutions for transportation tracking and logistics optimization. Ultimately, the fund provides investors with an efficient avenue to gain exposure to a portfolio of companies leading the transformative changes in how people and goods will be transported in the foreseeable future.

HAIL (State Street SPDR S&P Kensho Smart Mobility ETF) trades in the Financial Services sector, specifically Asset Management - Global, with a market capitalization of approximately $17.2M, a beta of 1.87 versus the broader market, a 52-week range of 29.89-44.8, average daily share volume of 3K, a public-listing history dating back to 2017. These structural characteristics shape how HAIL etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.87 indicates HAIL has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. HAIL pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a butterfly on HAIL?

A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration.

Current HAIL snapshot

As of June 30, 2026, spot at $39.97, ATM IV 30.90%, IV rank 5.62%, expected move 8.86%. The butterfly on HAIL 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 butterfly structure on HAIL specifically: HAIL IV at 30.90% is on the cheap side of its 1-year range, which favors premium-buying structures like a HAIL butterfly, with a market-implied 1-standard-deviation move of approximately 8.86% (roughly $3.54 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 HAIL expiries trade a higher absolute premium for lower per-day decay. Position sizing on HAIL should anchor to the underlying notional of $39.97 per share and to the trader's directional view on HAIL etf.

HAIL butterfly setup

The HAIL butterfly below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With HAIL near $39.97, the first option leg uses a $38.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HAIL 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 HAIL shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$38.00	$2.15
Sell 2	Call	$40.00	$1.11
Buy 1	Call	$42.00	$0.37

HAIL butterfly risk and reward

Net Premium / Debit: -$30.00
Max Profit (per contract): $152.42
Max Loss (per contract): -$30.00
Breakeven(s): $38.30, $41.70
Risk / Reward Ratio: 5.081

Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit.

HAIL butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on HAIL. 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%	-$30.00
$8.85	-77.9%	-$30.00
$17.68	-55.8%	-$30.00
$26.52	-33.7%	-$30.00
$35.36	-11.5%	-$30.00
$44.19	+10.6%	-$30.00
$53.03	+32.7%	-$30.00
$61.87	+54.8%	-$30.00
$70.70	+76.9%	-$30.00
$79.54	+99.0%	-$30.00

When traders use butterfly on HAIL

Butterflies on HAIL are pinning bets - traders use them when they expect HAIL to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.

HAIL thesis for this butterfly

The market-implied 1-standard-deviation range for HAIL extends from approximately $36.43 on the downside to $43.51 on the upside. A HAIL long call butterfly is a pinning play: it pays maximum at the middle strike if HAIL settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current HAIL IV rank near 5.62% 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 HAIL at 30.90%. As a Financial Services name, HAIL options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HAIL-specific events.

HAIL butterfly positions are structurally neutral / pin (limited-risk, limited-reward); 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. HAIL positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HAIL alongside the broader basket even when HAIL-specific fundamentals are unchanged. Always rebuild the position from current HAIL chain quotes before placing a trade.

Frequently asked questions

What is a butterfly on HAIL?: A butterfly on HAIL is the butterfly strategy applied to HAIL (etf). The strategy is structurally neutral / pin (limited-risk, limited-reward): A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration. With HAIL etf trading near $39.97, the strikes shown on this page are snapped to the nearest listed HAIL chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are HAIL butterfly max profit and max loss calculated?: Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the HAIL butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 30.90%), the computed maximum profit is $152.42 per contract and the computed maximum loss is -$30.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a HAIL butterfly?: The breakeven for the HAIL butterfly priced on this page is roughly $38.30 and $41.70 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 HAIL market-implied 1-standard-deviation expected move is approximately 8.86%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on HAIL?: Butterflies on HAIL are pinning bets - traders use them when they expect HAIL to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
How does current HAIL implied volatility affect this butterfly?: HAIL ATM IV is at 30.90% with IV rank near 5.62%, 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.