How are COMP 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 COMP butterfly priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 53.30%), the computed maximum profit is $50.45 per contract and the computed maximum loss is -$47.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a COMP butterfly?

The breakeven for the COMP butterfly priced on this page is roughly $12.48 and $13.53 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 COMP market-implied 1-standard-deviation expected move in the same options snapshot is approximately 15.28%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current COMP implied volatility affect this butterfly?

COMP ATM IV is at 53.30% with IV rank near 12.01%, 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.

COMP Butterfly Strategy

COMP (Compass, Inc.), in the Real Estate sector, (Real Estate - Services industry), listed on NYSE.

Headquartered in New York, New York, and established in 2012, Compass, Inc. delivers real estate brokerage services throughout the United States. The company's core offering is a sophisticated, cloud-based platform that integrates a comprehensive suite of software tools. These tools are designed for customer relationship management, marketing, client support, operational oversight, and various other essential functions, complementing its primary brokerage and adjacent real estate services. Compass further enhances agent efficiency through mobile applications for on-the-go business management, alongside crafting user-friendly interfaces and automating workflows to streamline agent-client interactions. The company, which was previously known as Urban Compass, Inc., officially adopted its current name in January 2021.

COMP (Compass, Inc.) trades in the Real Estate sector, specifically Real Estate - Services, with a market capitalization of approximately $7.74B, a trailing P/E of 144.46, a beta of 2.35 versus the broader market, a 52-week range of 6.37-13.955, average daily share volume of 14.0M, a public-listing history dating back to 2021, approximately 3K full-time employees. These structural characteristics shape how COMP stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 2.35 indicates COMP has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. The trailing P/E of 144.46 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 COMP?

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.

COMP snapshot

As of August 14, 2026, spot at $13.04, ATM IV 53.30%, IV rank 12.01%, expected move 15.28%. The butterfly on COMP 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 7-day expiry.

Why this butterfly structure on COMP specifically: COMP IV at 53.30% is on the cheap side of its 1-year range, which favors premium-buying structures like a COMP butterfly, with a market-implied 1-standard-deviation move of approximately 15.28% (roughly $1.99 on the underlying). The 7-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated COMP expiries trade a higher absolute premium for lower per-day decay. Position sizing on COMP should anchor to the underlying notional of $13.04 per share and to the trader's directional view on COMP stock.

COMP butterfly setup

The COMP butterfly 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 COMP at $13.04 on that close, the first option leg uses a $12.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed COMP chain at a 7-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 COMP shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$12.00	$1.15
Sell 2	Call	$13.00	$0.40
Buy 1	Call	$14.00	$0.13

COMP butterfly risk and reward

Net Premium / Debit: -$47.50
Max Profit (per contract): $50.45
Max Loss (per contract): -$47.50
Breakeven(s): $12.48, $13.53
Risk / Reward Ratio: 1.062

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.

COMP butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on COMP. 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	-99.9%	-$47.50
$2.89	-77.8%	-$47.50
$5.77	-55.7%	-$47.50
$8.66	-33.6%	-$47.50
$11.54	-11.5%	-$47.50
$14.42	+10.6%	-$47.50
$17.30	+32.7%	-$47.50
$20.18	+54.8%	-$47.50
$23.07	+76.9%	-$47.50
$25.95	+99.0%	-$47.50

When traders use butterfly on COMP

Butterflies on COMP are pinning bets - traders use them when they expect COMP 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.

COMP thesis for this butterfly

The market-implied 1-standard-deviation range for COMP extends from approximately $11.05 on the downside to $15.03 on the upside. A COMP long call butterfly is a pinning play: it pays maximum at the middle strike if COMP settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current COMP IV rank near 12.01% 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 COMP at 53.30%. As a Real Estate name, COMP options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to COMP-specific events.

COMP 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. COMP positions also carry Real Estate sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move COMP alongside the broader basket even when COMP-specific fundamentals are unchanged. Always rebuild the position from current COMP chain quotes before placing a trade.

Frequently asked questions

What is a butterfly on COMP?: A butterfly on COMP is the butterfly strategy applied to COMP (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 COMP stock at $13.04 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed COMP chain strike and the premiums come straight from that session's bid/ask midpoint.
How are COMP 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 COMP butterfly priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 53.30%), the computed maximum profit is $50.45 per contract and the computed maximum loss is -$47.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a COMP butterfly?: The breakeven for the COMP butterfly priced on this page is roughly $12.48 and $13.53 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 COMP market-implied 1-standard-deviation expected move in the same options snapshot is approximately 15.28%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on COMP?: Butterflies on COMP are pinning bets - traders use them when they expect COMP 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 COMP implied volatility affect this butterfly?: COMP ATM IV is at 53.30% with IV rank near 12.01%, 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.