CSBR Strangle Strategy
CSBR (Champions Oncology, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Champions Oncology, Inc. is dedicated to developing and commercializing cutting-edge technological products and services designed to personalize cancer treatment and streamline the development of oncology drugs across the United States. At the heart of its offerings is the Tumorgraft Technology Platform, an innovative approach that facilitates individualized cancer care by implanting human tumors into immune-deficient mice. Utilizing this proprietary platform, the company not only delivers personalized cancer solutions directly but also provides Translational Oncology Solutions, supporting pharmaceutical and biotechnology companies through their drug development lifecycle. Additionally, Champions Oncology offers Lumin Bioinformatics, a comprehensive software platform and data tool filled with insights from research services and clinical studies, accessible through annual subscriptions. The company distributes its offerings through various channels, including online platforms, word-of-mouth referrals, and a dedicated sales team, reaching both patients and healthcare professionals. Established in 1985, Champions Oncology, Inc. is based in Hackensack, New Jersey, and was formerly known as Champions Biotechnology, Inc. until its name change in April 2011.
CSBR (Champions Oncology, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $68.8M, a beta of 0.41 versus the broader market, a 52-week range of 4.88-8.74, average daily share volume of 9K, a public-listing history dating back to 2007, approximately 214 full-time employees. These structural characteristics shape how CSBR stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.41 indicates CSBR has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure.
What is a strangle on CSBR?
A long strangle buys an OTM call and an OTM put at offset strikes, cheaper than a straddle but requiring a larger underlying move to profit since both wings start out-of-the-money.
CSBR snapshot
As of August 14, 2026, spot at $5.06, ATM IV 430.60%, IV rank 93.08%, expected move 123.45%. The strangle on CSBR 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 strangle structure on CSBR specifically: CSBR IV at 430.60% is rich versus its 1-year range, which makes a premium-buying CSBR strangle relatively expensive in absolute-cost terms, with a market-implied 1-standard-deviation move of approximately 123.45% (roughly $6.25 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 CSBR expiries trade a higher absolute premium for lower per-day decay. Position sizing on CSBR should anchor to the underlying notional of $5.06 per share and to the trader's directional view on CSBR stock.
CSBR strangle setup
The CSBR strangle below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With CSBR at $5.06 on that close, the first option leg uses a $5.31 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CSBR 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 CSBR shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $5.31 | N/A |
| Buy 1 | Put | $4.81 | N/A |
CSBR strangle 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
Upside max profit is unbounded; downside max profit is bounded at the put strike minus the combined debit (reached at zero). Max loss equals the combined debit times 100 (reached anywhere between the two OTM strikes). Two breakevens at call-strike plus debit and put-strike minus debit.
CSBR strangle payoff curve
Modeled P&L at expiration across a range of underlying prices for the strangle on CSBR. 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 strangle on CSBR
Strangles on CSBR are the cheaper cousin of the straddle - traders use them when they want a large directional move but are willing to give up the inner-strike sensitivity in exchange for a lower up-front debit on the CSBR chain.
CSBR thesis for this strangle
The market-implied 1-standard-deviation range for CSBR extends from approximately $-1.19 on the downside to $11.31 on the upside. A CSBR long strangle is the OTM cousin of the straddle: lower up-front cost but the underlying has to travel further past either OTM strike before the position turns profitable at expiration. Current CSBR IV rank near 93.08% sits in the upper third of its 1-year distribution, which historically reverts; this raises the bar for premium-buying structures and lowers it for premium-selling structures on CSBR at 430.60%. As a Healthcare name, CSBR options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CSBR-specific events.
CSBR strangle positions are structurally neutral / high-volatility (long premium, OTM); 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. CSBR positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move CSBR alongside the broader basket even when CSBR-specific fundamentals are unchanged. Always rebuild the position from current CSBR chain quotes before placing a trade.
Frequently asked questions
- What is a strangle on CSBR?
- A strangle on CSBR is the strangle strategy applied to CSBR (stock). The strategy is structurally neutral / high-volatility (long premium, OTM): A long strangle buys an OTM call and an OTM put at offset strikes, cheaper than a straddle but requiring a larger underlying move to profit since both wings start out-of-the-money. With CSBR stock at $5.06 on the most recent close, the strikes shown on this page are snapped to the nearest listed CSBR chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are CSBR strangle max profit and max loss calculated?
- Upside max profit is unbounded; downside max profit is bounded at the put strike minus the combined debit (reached at zero). Max loss equals the combined debit times 100 (reached anywhere between the two OTM strikes). Two breakevens at call-strike plus debit and put-strike minus debit. For the CSBR strangle priced from the end-of-day chain at a 30-day expiry (ATM IV 430.60%), 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 CSBR strangle?
- The breakeven for the CSBR strangle 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 CSBR market-implied 1-standard-deviation expected move in the same options snapshot is approximately 123.45%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a strangle on CSBR?
- Strangles on CSBR are the cheaper cousin of the straddle - traders use them when they want a large directional move but are willing to give up the inner-strike sensitivity in exchange for a lower up-front debit on the CSBR chain.
- How does current CSBR implied volatility affect this strangle?
- CSBR ATM IV is at 430.60% with IV rank near 93.08%, which is elevated relative to its 1-year range. Premium-selling structures (covered call, cash-secured put, iron condor) generally look more attractive when IV rank is high; premium-buying structures (long call, long put, debit spreads) are more expensive in that regime.