ACH Butterfly Strategy
ACH (Accendra Health, Inc.), in the Healthcare sector, (Medical - Distribution industry), listed on NYSE.
Accendra Health, Inc., along with its subsidiaries, operates globally as a comprehensive provider of healthcare solutions. The organization is structured into two primary operational divisions: Products & Healthcare Services and Patient Direct. The Products & Healthcare Services segment offers a wide array of goods and support services to both healthcare providers and manufacturers. Its extensive catalog includes medical and surgical supplies, featuring both established brands and its own proprietary merchandise. This segment also delivers crucial services to healthcare providers, such as supplier relationship management, advanced analytics, inventory optimization, and clinical supply oversight. Furthermore, it provides outsourced logistics and marketing assistance programs to its vendor partners.
ACH (Accendra Health, Inc.) trades in the Healthcare sector, specifically Medical - Distribution, with a market capitalization of approximately $92.7M, a beta of 1.58 versus the broader market, a 52-week range of 1.19-5.85, average daily share volume of 761K, a public-listing history dating back to 1980, approximately 7K full-time employees. These structural characteristics shape how ACH stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.58 indicates ACH has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. ACH pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a butterfly on ACH?
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.
ACH snapshot
As of August 14, 2026, spot at $1.00, ATM IV 492.00%, IV rank 100.00%, expected move 141.05%. The butterfly on ACH below is built from the end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.
Why this butterfly structure on ACH specifically: ACH IV at 492.00% is rich versus its 1-year range, which makes a premium-buying ACH butterfly relatively expensive in absolute-cost terms, with a market-implied 1-standard-deviation move of approximately 141.05% (roughly $1.41 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated ACH expiries trade a higher absolute premium for lower per-day decay. Position sizing on ACH should anchor to the underlying notional of $1.00 per share and to the trader's directional view on ACH stock.
ACH butterfly setup
The ACH 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 ACH at $1.00 on that close, the first option leg uses a $0.95 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ACH chain at a 35-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 ACH shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $0.95 | N/A |
| Sell 2 | Call | $1.00 | N/A |
| Buy 1 | Call | $1.05 | N/A |
ACH butterfly 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 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.
ACH butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on ACH. 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 butterfly on ACH
Butterflies on ACH are pinning bets - traders use them when they expect ACH 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.
ACH thesis for this butterfly
The market-implied 1-standard-deviation range for ACH extends from approximately $-0.41 on the downside to $2.41 on the upside. A ACH long call butterfly is a pinning play: it pays maximum at the middle strike if ACH settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current ACH IV rank near 100.00% 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 ACH at 492.00%. As a Healthcare name, ACH options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ACH-specific events.
ACH 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. ACH positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ACH alongside the broader basket even when ACH-specific fundamentals are unchanged. Always rebuild the position from current ACH chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on ACH?
- A butterfly on ACH is the butterfly strategy applied to ACH (stock). 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 ACH stock at $1.00 on the most recent close, the strikes shown on this page are snapped to the nearest listed ACH chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are ACH 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 ACH butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 492.00%), 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 ACH butterfly?
- The breakeven for the ACH butterfly priced on this page is no defined breakeven on the modeled curve at expiration, derived from the end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The ACH market-implied 1-standard-deviation expected move in the same options snapshot is approximately 141.05%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on ACH?
- Butterflies on ACH are pinning bets - traders use them when they expect ACH 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 ACH implied volatility affect this butterfly?
- ACH ATM IV is at 492.00% with IV rank near 100.00%, 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.