ANVS Butterfly Strategy
ANVS (Annovis Bio, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NYSE.
Annovis Bio, Inc., a clinical stage drug platform company, develops drugs to treat neurodegeneration. The company's lead compound is Buntanetap, an orally administered drug, which has completed Phase 2a clinical trials for the treatment of Alzheimer's disease (AD) and Parkinson's disease, as well as is in clinical trials for Alzheimer's disease in Down Syndrome and other chronic neurodegenerative disorders. It is also developing ANVS405 for protecting the traumatic brain injury and stroke; and ANVS301, which is in Phase I clinical trials to increase cognitive capability in later stages of AD and dementia. The company was incorporated in 2008 and is based in Berwyn, Pennsylvania.
ANVS (Annovis Bio, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $43.7M, a beta of 1.26 versus the broader market, a 52-week range of 1.54-5.5, average daily share volume of 831K, a public-listing history dating back to 2020, approximately 8 full-time employees. These structural characteristics shape how ANVS stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.26 places ANVS roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a butterfly on ANVS?
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 ANVS snapshot
As of May 15, 2026, spot at $2.08, ATM IV 255.09%, IV rank 49.70%, expected move 73.13%. The butterfly on ANVS 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 28-day expiry.
Why this butterfly structure on ANVS specifically: ANVS IV at 255.09% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 73.13% (roughly $1.52 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated ANVS expiries trade a higher absolute premium for lower per-day decay. Position sizing on ANVS should anchor to the underlying notional of $2.08 per share and to the trader's directional view on ANVS stock.
ANVS butterfly setup
The ANVS 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 ANVS near $2.08, the first option leg uses a $1.98 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ANVS chain at a 28-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 ANVS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $1.98 | N/A |
| Sell 2 | Call | $2.08 | N/A |
| Buy 1 | Call | $2.18 | N/A |
ANVS 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.
ANVS butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on ANVS. 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 ANVS
Butterflies on ANVS are pinning bets - traders use them when they expect ANVS 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.
ANVS thesis for this butterfly
The market-implied 1-standard-deviation range for ANVS extends from approximately $0.56 on the downside to $3.60 on the upside. A ANVS long call butterfly is a pinning play: it pays maximum at the middle strike if ANVS settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current ANVS IV rank near 49.70% is mid-range against its 1-year distribution, so the IV signal is neutral; the butterfly thesis on ANVS should anchor more to the directional view and the expected-move geometry. As a Healthcare name, ANVS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ANVS-specific events.
ANVS 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. ANVS positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ANVS alongside the broader basket even when ANVS-specific fundamentals are unchanged. Always rebuild the position from current ANVS chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on ANVS?
- A butterfly on ANVS is the butterfly strategy applied to ANVS (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 ANVS stock trading near $2.08, the strikes shown on this page are snapped to the nearest listed ANVS chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are ANVS 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 ANVS butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 255.09%), 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 ANVS butterfly?
- The breakeven for the ANVS butterfly 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 ANVS market-implied 1-standard-deviation expected move is approximately 73.13%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on ANVS?
- Butterflies on ANVS are pinning bets - traders use them when they expect ANVS 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 ANVS implied volatility affect this butterfly?
- ANVS ATM IV is at 255.09% with IV rank near 49.70%, 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.