CATX Butterfly Strategy
CATX (Perspective Therapeutics, Inc.), in the Healthcare sector, (Medical - Devices industry), listed on AMEX.
Perspective Therapeutics, Inc., including its various operations, specializes in the comprehensive lifecycle – from development and manufacturing to sales and marketing – of radiopharmaceutical products and medical devices. These advanced solutions are designed to treat cancer and other serious malignant conditions, serving markets both within the United States and globally. A flagship product offered by the company is its CS-1 Cesium-131 brachytherapy seeds. This treatment is specifically utilized for a broad range of cancers, such as those impacting the prostate, brain, lung, head and neck regions, gynecological system, pelvic/abdominal areas, and colorectal tissues. The company distributes its products to medical facilities and physician practices equipped with surgical capabilities. The entity originally operated under the name Isoray, Inc., before officially adopting the name Perspective Therapeutics, Inc. in February 2022.
CATX (Perspective Therapeutics, Inc.) trades in the Healthcare sector, specifically Medical - Devices, with a market capitalization of approximately $234.8M, a beta of 1.73 versus the broader market, a 52-week range of 1.96-6.16, average daily share volume of 1.4M, a public-listing history dating back to 2005, approximately 138 full-time employees. These structural characteristics shape how CATX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.73 indicates CATX 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 CATX?
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 CATX snapshot
As of June 30, 2026, spot at $3.44, ATM IV 22.20%, IV rank 0.97%, expected move 6.36%. The butterfly on CATX 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 CATX specifically: CATX IV at 22.20% is on the cheap side of its 1-year range, which favors premium-buying structures like a CATX butterfly, with a market-implied 1-standard-deviation move of approximately 6.36% (roughly $0.22 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 CATX expiries trade a higher absolute premium for lower per-day decay. Position sizing on CATX should anchor to the underlying notional of $3.44 per share and to the trader's directional view on CATX stock.
CATX butterfly setup
The CATX 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 CATX near $3.44, the first option leg uses a $3.27 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CATX 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 CATX shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $3.27 | N/A |
| Sell 2 | Call | $3.44 | N/A |
| Buy 1 | Call | $3.61 | N/A |
CATX 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.
CATX butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on CATX. 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 CATX
Butterflies on CATX are pinning bets - traders use them when they expect CATX 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.
CATX thesis for this butterfly
The market-implied 1-standard-deviation range for CATX extends from approximately $3.22 on the downside to $3.66 on the upside. A CATX long call butterfly is a pinning play: it pays maximum at the middle strike if CATX settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current CATX IV rank near 0.97% 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 CATX at 22.20%. As a Healthcare name, CATX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CATX-specific events.
CATX 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. CATX positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move CATX alongside the broader basket even when CATX-specific fundamentals are unchanged. Always rebuild the position from current CATX chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on CATX?
- A butterfly on CATX is the butterfly strategy applied to CATX (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 CATX stock trading near $3.44, the strikes shown on this page are snapped to the nearest listed CATX chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are CATX 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 CATX butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 22.20%), 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 CATX butterfly?
- The breakeven for the CATX 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 CATX market-implied 1-standard-deviation expected move is approximately 6.36%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on CATX?
- Butterflies on CATX are pinning bets - traders use them when they expect CATX 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 CATX implied volatility affect this butterfly?
- CATX ATM IV is at 22.20% with IV rank near 0.97%, 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.