How are AMBQ 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 AMBQ butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 95.80%), the computed maximum profit is $369.29 per contract and the computed maximum loss is -$90.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a AMBQ butterfly?

The breakeven for the AMBQ butterfly priced on this page is roughly $85.90 and $94.10 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 AMBQ market-implied 1-standard-deviation expected move is approximately 27.46%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current AMBQ implied volatility affect this butterfly?

Current AMBQ ATM IV is 95.80%; IV rank context is unavailable in the current snapshot.

AMBQ Butterfly Strategy

AMBQ (Ambiq Micro, Inc.), in the Technology sector, (Semiconductors industry), listed on NYSE.

Ambiq Micro, Inc. specializes in designing highly energy-efficient integrated circuits, tailored specifically for applications where power consumption is a critical factor. The company leverages its advanced subthreshold power-optimized technology to produce ultra-low-power real-time clocks and microcontrollers. These components are vital for various uses, including wearable devices, intelligent cards, wireless sensor networks, and a wide array of Internet of Things (IoT) products. Among its leading offerings are Apollo, a sophisticated system-on-a-chip (SoC) developed for edge artificial intelligence (AI), featuring embedded processors capable of performing AI computations through software. Another significant product, Atomiq, is aimed at advanced AI applications, providing substantial AI acceleration alongside novel memory innovations. In addition to its product portfolio, Ambiq Micro offers extensive technical support to its customers and distributes its solutions through a network of dedicated sales representatives.

AMBQ (Ambiq Micro, Inc.) trades in the Technology sector, specifically Semiconductors, with a market capitalization of approximately $1.75B, a beta of 5.68 versus the broader market, a 52-week range of 22.12-91.61, average daily share volume of 664K, a public-listing history dating back to 2025, approximately 190 full-time employees. These structural characteristics shape how AMBQ stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 5.68 indicates AMBQ 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 butterfly on AMBQ?

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 AMBQ snapshot

As of June 30, 2026, spot at $89.14, ATM IV 95.80%, expected move 27.46%. The butterfly on AMBQ 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 AMBQ specifically: IV rank is unavailable in the current snapshot, so regime-based timing for AMBQ is inferred from ATM IV at 95.80% alone, with a market-implied 1-standard-deviation move of approximately 27.46% (roughly $24.48 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 AMBQ expiries trade a higher absolute premium for lower per-day decay. Position sizing on AMBQ should anchor to the underlying notional of $89.14 per share and to the trader's directional view on AMBQ stock.

AMBQ butterfly setup

The AMBQ 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 AMBQ near $89.14, the first option leg uses a $85.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed AMBQ 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 AMBQ shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$85.00	$9.55
Sell 2	Call	$90.00	$6.80
Buy 1	Call	$95.00	$4.95

AMBQ butterfly risk and reward

Net Premium / Debit: -$90.00
Max Profit (per contract): $369.29
Max Loss (per contract): -$90.00
Breakeven(s): $85.90, $94.10
Risk / Reward Ratio: 4.103

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.

AMBQ butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on AMBQ. 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%	-$90.00
$19.72	-77.9%	-$90.00
$39.43	-55.8%	-$90.00
$59.13	-33.7%	-$90.00
$78.84	-11.6%	-$90.00
$98.55	+10.6%	-$90.00
$118.26	+32.7%	-$90.00
$137.97	+54.8%	-$90.00
$157.68	+76.9%	-$90.00
$177.38	+99.0%	-$90.00

When traders use butterfly on AMBQ

Butterflies on AMBQ are pinning bets - traders use them when they expect AMBQ 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.

AMBQ thesis for this butterfly

The market-implied 1-standard-deviation range for AMBQ extends from approximately $64.66 on the downside to $113.62 on the upside. A AMBQ long call butterfly is a pinning play: it pays maximum at the middle strike if AMBQ settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. As a Technology name, AMBQ options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to AMBQ-specific events.

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

Frequently asked questions

What is a butterfly on AMBQ?: A butterfly on AMBQ is the butterfly strategy applied to AMBQ (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 AMBQ stock trading near $89.14, the strikes shown on this page are snapped to the nearest listed AMBQ chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are AMBQ 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 AMBQ butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 95.80%), the computed maximum profit is $369.29 per contract and the computed maximum loss is -$90.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a AMBQ butterfly?: The breakeven for the AMBQ butterfly priced on this page is roughly $85.90 and $94.10 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 AMBQ market-implied 1-standard-deviation expected move is approximately 27.46%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on AMBQ?: Butterflies on AMBQ are pinning bets - traders use them when they expect AMBQ 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 AMBQ implied volatility affect this butterfly?: Current AMBQ ATM IV is 95.80%; IV rank context is unavailable in the current snapshot.