How are AX bear put spread max profit and max loss calculated?

Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit. For the AX bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 29.50%), the computed maximum profit is $342.50 per contract and the computed maximum loss is -$157.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a AX bear put spread?

The breakeven for the AX bear put spread priced on this page is roughly $95.93 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 AX market-implied 1-standard-deviation expected move is approximately 8.46%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current AX implied volatility affect this bear put spread?

AX ATM IV is at 29.50% with IV rank near 11.37%, 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.

AX Bear Put Spread Strategy

AX (Axos Financial, Inc.), in the Financial Services sector, (Banks - Regional industry), listed on NYSE.

Founded in Las Vegas, Nevada, in 1999, Axos Financial, Inc. is a U.S.-based financial institution that delivers a comprehensive array of banking services to both individual consumers and businesses. The company operates through two primary divisions: its core Banking Business and its Securities Business. For deposits, Axos provides a broad spectrum of options including checking, savings, demand, money market, and time deposit accounts, alongside specialized products such as zero balance and insured cash sweep accounts. Its diverse lending portfolio encompasses various mortgage types, such as single-family, multi-family, and commercial real estate-backed loans. They also extend commercial and industrial loans, comprising non-real estate, asset-backed, term loans, and lines of credit. Consumer lending encompasses automobile loans, fixed-rate unsecured loans, and unique offerings such as structured settlements, Small Business Administration (SBA) loans, and securities-backed financing.

AX (Axos Financial, Inc.) trades in the Financial Services sector, specifically Banks - Regional, with a market capitalization of approximately $5.47B, a trailing P/E of 11.44, a beta of 1.25 versus the broader market, a 52-week range of 74.89-101.92, average daily share volume of 412K, a public-listing history dating back to 2005, approximately 2K full-time employees. These structural characteristics shape how AX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.25 places AX roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 11.44 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price.

What is a bear put spread on AX?

A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width.

Current AX snapshot

As of June 30, 2026, spot at $97.55, ATM IV 29.50%, IV rank 11.37%, expected move 8.46%. The bear put spread on AX 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 bear put spread structure on AX specifically: AX IV at 29.50% is on the cheap side of its 1-year range, which favors premium-buying structures like a AX bear put spread, with a market-implied 1-standard-deviation move of approximately 8.46% (roughly $8.25 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 AX expiries trade a higher absolute premium for lower per-day decay. Position sizing on AX should anchor to the underlying notional of $97.55 per share and to the trader's directional view on AX stock.

AX bear put spread setup

The AX bear put spread below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With AX near $97.55, the first option leg uses a $97.50 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed AX 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 AX shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Put	$97.50	$2.60
Sell 1	Put	$92.50	$1.03

AX bear put spread risk and reward

Net Premium / Debit: -$157.50
Max Profit (per contract): $342.50
Max Loss (per contract): -$157.50
Breakeven(s): $95.93
Risk / Reward Ratio: 2.175

Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit.

AX bear put spread payoff curve

Modeled P&L at expiration across a range of underlying prices for the bear put spread on AX. 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%	+$342.50
$21.58	-77.9%	+$342.50
$43.15	-55.8%	+$342.50
$64.71	-33.7%	+$342.50
$86.28	-11.6%	+$342.50
$107.85	+10.6%	-$157.50
$129.42	+32.7%	-$157.50
$150.98	+54.8%	-$157.50
$172.55	+76.9%	-$157.50
$194.12	+99.0%	-$157.50

When traders use bear put spread on AX

Bear put spreads on AX reduce the cost of a bearish AX stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.

AX thesis for this bear put spread

The market-implied 1-standard-deviation range for AX extends from approximately $89.30 on the downside to $105.80 on the upside. A AX bear put spread caps both the risk and the reward of a bearish position; relative to an outright long put on AX, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current AX IV rank near 11.37% 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 AX at 29.50%. As a Financial Services name, AX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to AX-specific events.

AX bear put spread positions are structurally moderately 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. AX positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move AX alongside the broader basket even when AX-specific fundamentals are unchanged. Long-premium structures like a bear put spread on AX 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 AX chain quotes before placing a trade.

Frequently asked questions

What is a bear put spread on AX?: A bear put spread on AX is the bear put spread strategy applied to AX (stock). The strategy is structurally moderately bearish: A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width. With AX stock trading near $97.55, the strikes shown on this page are snapped to the nearest listed AX chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are AX bear put spread max profit and max loss calculated?: Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit. For the AX bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 29.50%), the computed maximum profit is $342.50 per contract and the computed maximum loss is -$157.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a AX bear put spread?: The breakeven for the AX bear put spread priced on this page is roughly $95.93 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 AX market-implied 1-standard-deviation expected move is approximately 8.46%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a bear put spread on AX?: Bear put spreads on AX reduce the cost of a bearish AX stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.
How does current AX implied volatility affect this bear put spread?: AX ATM IV is at 29.50% with IV rank near 11.37%, 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.