CRDF Butterfly Strategy
CRDF (Cardiff Oncology, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Cardiff Oncology, Inc., a clinical-stage biotechnology company, develops novel therapies for the treatment of various cancers in the United States. Its lead drug candidate is Onvansertib, an oral and selective polo-like kinase 1 inhibitor for treating RAS-mutated metastatic colorectal cancer. The company also focuses on the clinical program in indications, such as investigator-initiated trials in metastatic pancreatic ductal adenocarcinoma, small cell lung cancer, metastatic triple negative breast cancer, and chronic myelomonocytic leukemia; CRDF-004, a Phase 2 open-label randomized multi-center clinical trial of onvansertib in combination with FOLFIRI and bevacizumab or FOLFOX and bevacizumab for the treatment of patients confirmed metastatic and unresectable colorectal cancer in patients with a KRAS or NRAS mutation; and TROV-054, a Phase 1b/2 single-arm clinical trial in KRAS-mutated metastatic colorectal cancer. The company was formerly known as Trovagene, Inc. and changed its name to Cardiff Oncology, Inc. in May 2012. Cardiff Oncology, Inc. was founded in 1999 and is headquartered in San Diego, California.
CRDF (Cardiff Oncology, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $76.3M, a beta of 1.44 versus the broader market, a 52-week range of 0.76-3.31, average daily share volume of 1.3M, a public-listing history dating back to 2004, approximately 31 full-time employees. These structural characteristics shape how CRDF stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.44 indicates CRDF 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 CRDF?
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.
CRDF snapshot
As of August 14, 2026, spot at $0.97, ATM IV 223.30%, IV rank 44.32%, expected move 64.02%. The butterfly on CRDF below is built from the end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.
Why this butterfly structure on CRDF specifically: CRDF IV at 223.30% 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 64.02% (roughly $0.62 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated CRDF expiries trade a higher absolute premium for lower per-day decay. Position sizing on CRDF should anchor to the underlying notional of $0.97 per share and to the trader's directional view on CRDF stock.
CRDF butterfly setup
The CRDF 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 CRDF at $0.97 on that close, the first option leg uses a $0.92 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CRDF chain at a 35-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 CRDF shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $0.92 | N/A |
| Sell 2 | Call | $0.97 | N/A |
| Buy 1 | Call | $1.02 | N/A |
CRDF 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.
CRDF butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on CRDF. 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 CRDF
Butterflies on CRDF are pinning bets - traders use them when they expect CRDF 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.
CRDF thesis for this butterfly
The market-implied 1-standard-deviation range for CRDF extends from approximately $0.35 on the downside to $1.59 on the upside. A CRDF long call butterfly is a pinning play: it pays maximum at the middle strike if CRDF settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current CRDF IV rank near 44.32% is mid-range against its 1-year distribution, so the IV signal is neutral; the butterfly thesis on CRDF should anchor more to the directional view and the expected-move geometry. As a Healthcare name, CRDF options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CRDF-specific events.
CRDF 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. CRDF positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move CRDF alongside the broader basket even when CRDF-specific fundamentals are unchanged. Always rebuild the position from current CRDF chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on CRDF?
- A butterfly on CRDF is the butterfly strategy applied to CRDF (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 CRDF stock at $0.97 on the most recent close, the strikes shown on this page are snapped to the nearest listed CRDF chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are CRDF 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 CRDF butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 223.30%), 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 CRDF butterfly?
- The breakeven for the CRDF butterfly priced on this page is no defined breakeven on the modeled curve at expiration, derived from the 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 CRDF market-implied 1-standard-deviation expected move in the same options snapshot is approximately 64.02%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on CRDF?
- Butterflies on CRDF are pinning bets - traders use them when they expect CRDF 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 CRDF implied volatility affect this butterfly?
- CRDF ATM IV is at 223.30% with IV rank near 44.32%, 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.