AORT Butterfly Strategy
AORT (Artivion, Inc.), in the Healthcare sector, (Medical - Devices industry), listed on NYSE.
Artivion Inc. is a global company that develops, produces, and supplies medical devices and implantable human tissues. Its product range includes BioGlue, a polymer derived from bovine blood protein combined with a cross-linking agent, utilized in cardiac, vascular, neurological, and pulmonary surgical applications. The company also offers heart preservation services and the PhotoFix bovine pericardial patch, in addition to E-vita Open Plus and E-vita Open Neo devices. For the treatment of aortic vascular conditions, Artivion provides specialized stent graft systems. These include E-xtra design engineering systems for aortic vascular diseases, E-nside as an off-the-shelf solution for thoraco-abdominal disease, E-vita THORACIC 3G for endovascular repair of thoracic aortic aneurysms, E-nya for minimally invasive repair of descending aorta lesions, and the E-tegra system for abdominal aortic aneurysms. Furthermore, its offerings address peripheral and renal artery treatments with the E-ventus BX balloon-expandable stent graft and the E-liac system for aneurysmal iliac arteries and their side branches.
AORT (Artivion, Inc.) trades in the Healthcare sector, specifically Medical - Devices, with a market capitalization of approximately $1.15B, a trailing P/E of 97.09, a beta of 1.26 versus the broader market, a 52-week range of 19.16-48.25, average daily share volume of 737K, a public-listing history dating back to 1993, approximately 2K full-time employees. These structural characteristics shape how AORT stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.26 places AORT roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 97.09 is on the rich side, which tends to correlate with higher earnings-window IV expansion as the market debates whether forward growth supports the multiple.
What is a butterfly on AORT?
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 AORT snapshot
As of June 30, 2026, spot at $22.45, ATM IV 59.20%, IV rank 9.03%, expected move 16.97%. The butterfly on AORT 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 AORT specifically: AORT IV at 59.20% is on the cheap side of its 1-year range, which favors premium-buying structures like a AORT butterfly, with a market-implied 1-standard-deviation move of approximately 16.97% (roughly $3.81 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 AORT expiries trade a higher absolute premium for lower per-day decay. Position sizing on AORT should anchor to the underlying notional of $22.45 per share and to the trader's directional view on AORT stock.
AORT butterfly setup
The AORT 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 AORT near $22.45, the first option leg uses a $21.33 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed AORT 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 AORT shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $21.33 | N/A |
| Sell 2 | Call | $22.45 | N/A |
| Buy 1 | Call | $23.57 | N/A |
AORT 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.
AORT butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on AORT. 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 AORT
Butterflies on AORT are pinning bets - traders use them when they expect AORT 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.
AORT thesis for this butterfly
The market-implied 1-standard-deviation range for AORT extends from approximately $18.64 on the downside to $26.26 on the upside. A AORT long call butterfly is a pinning play: it pays maximum at the middle strike if AORT settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current AORT IV rank near 9.03% 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 AORT at 59.20%. As a Healthcare name, AORT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to AORT-specific events.
AORT 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. AORT positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move AORT alongside the broader basket even when AORT-specific fundamentals are unchanged. Always rebuild the position from current AORT chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on AORT?
- A butterfly on AORT is the butterfly strategy applied to AORT (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 AORT stock trading near $22.45, the strikes shown on this page are snapped to the nearest listed AORT chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are AORT 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 AORT butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 59.20%), 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 AORT butterfly?
- The breakeven for the AORT 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 AORT market-implied 1-standard-deviation expected move is approximately 16.97%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on AORT?
- Butterflies on AORT are pinning bets - traders use them when they expect AORT 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 AORT implied volatility affect this butterfly?
- AORT ATM IV is at 59.20% with IV rank near 9.03%, 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.