How are AVAV long put max profit and max loss calculated?

Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium. For the AVAV long put priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 78.10%), the computed maximum profit is $17,734.00 per contract and the computed maximum loss is -$1,765.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a AVAV long put?

The breakeven for the AVAV long put priced on this page is roughly $177.35 at expiration, derived from the August 14, 2026 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 AVAV market-implied 1-standard-deviation expected move in the same options snapshot is approximately 22.39%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current AVAV implied volatility affect this long put?

AVAV ATM IV is at 78.10% with IV rank near 46.96%, 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.

AVAV Long Put Strategy

AVAV (AeroVironment, Inc.), in the Industrials sector, (Aerospace & Defense industry), listed on NASDAQ.

AeroVironment Inc. develops, produces, delivers, and services a diverse array of robotic systems for governmental and commercial entities across the globe. The company's operations are segmented into Unmanned Aircraft Systems (UAS), Tactical Missile Systems (TMS), Medium Unmanned Aircraft Systems (MUAS), and High Altitude Pseudo-Satellite Systems (HAPS). Its core clientele, particularly for UAS, TMS, and unmanned ground vehicles along with their accompanying support, includes agencies within the U.S. Department of Defense and international allied governments. AeroVironment also specializes in the engineering and manufacturing of unmanned aerial vehicles, encompassing airborne platforms, integrated payloads, ground control units, and essential support equipment. Beyond these core systems, the firm provides comprehensive support for small UAS products, offering spare components, modular payloads, power supplies (batteries, chargers), repair services, and dedicated customer assistance, alongside various aircraft, handheld control systems, and accessories.

AVAV (AeroVironment, Inc.) trades in the Industrials sector, specifically Aerospace & Defense, with a market capitalization of approximately $9.76B, a beta of 1.41 versus the broader market, a 52-week range of 135.2-417.86, average daily share volume of 1.5M, a public-listing history dating back to 2007, approximately 4K full-time employees. These structural characteristics shape how AVAV stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.41 indicates AVAV 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 long put on AVAV?

A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration.

AVAV snapshot

As of August 14, 2026, spot at $192.78, ATM IV 78.10%, IV rank 46.96%, expected move 22.39%. The long put on AVAV below is built from the August 14, 2026 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 long put structure on AVAV specifically: AVAV IV at 78.10% 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 22.39% (roughly $43.16 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 AVAV expiries trade a higher absolute premium for lower per-day decay. Position sizing on AVAV should anchor to the underlying notional of $192.78 per share and to the trader's directional view on AVAV stock.

AVAV long put setup

The AVAV long put below is built from the August 14, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With AVAV at $192.78 on that close, the first option leg uses a $195.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed AVAV 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 AVAV shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Put	$195.00	$17.65

AVAV long put risk and reward

Net Premium / Debit: -$1,765.00
Max Profit (per contract): $17,734.00
Max Loss (per contract): -$1,765.00
Breakeven(s): $177.35
Risk / Reward Ratio: 10.048

Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium.

AVAV long put payoff curve

Modeled P&L at expiration across a range of underlying prices for the long put on AVAV. 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%	+$17,734.00
$42.63	-77.9%	+$13,471.64
$85.26	-55.8%	+$9,209.28
$127.88	-33.7%	+$4,946.91
$170.50	-11.6%	+$684.55
$213.13	+10.6%	-$1,765.00
$255.75	+32.7%	-$1,765.00
$298.38	+54.8%	-$1,765.00
$341.00	+76.9%	-$1,765.00
$383.62	+99.0%	-$1,765.00

When traders use long put on AVAV

Long puts on AVAV hedge an existing long AVAV stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying AVAV exposure being hedged.

AVAV thesis for this long put

The market-implied 1-standard-deviation range for AVAV extends from approximately $149.62 on the downside to $235.94 on the upside. A AVAV long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long AVAV position with one put per 100 shares held. Current AVAV IV rank near 46.96% is mid-range against its 1-year distribution, so the IV signal is neutral; the long put thesis on AVAV should anchor more to the directional view and the expected-move geometry. As a Industrials name, AVAV options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to AVAV-specific events.

AVAV long put positions are structurally bearish; 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. AVAV positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move AVAV alongside the broader basket even when AVAV-specific fundamentals are unchanged. Long-premium structures like a long put on AVAV are particularly exposed to IV-crush risk through scheduled events (earnings, FDA decisions, central-bank meetings) where IV typically contracts post-event regardless of the directional outcome. Always rebuild the position from current AVAV chain quotes before placing a trade.

Frequently asked questions

What is a long put on AVAV?: A long put on AVAV is the long put strategy applied to AVAV (stock). The strategy is structurally bearish: A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration. With AVAV stock at $192.78 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed AVAV chain strike and the premiums come straight from that session's bid/ask midpoint.
How are AVAV long put max profit and max loss calculated?: Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium. For the AVAV long put priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 78.10%), the computed maximum profit is $17,734.00 per contract and the computed maximum loss is -$1,765.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a AVAV long put?: The breakeven for the AVAV long put priced on this page is roughly $177.35 at expiration, derived from the August 14, 2026 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 AVAV market-implied 1-standard-deviation expected move in the same options snapshot is approximately 22.39%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a long put on AVAV?: Long puts on AVAV hedge an existing long AVAV stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying AVAV exposure being hedged.
How does current AVAV implied volatility affect this long put?: AVAV ATM IV is at 78.10% with IV rank near 46.96%, 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.