How are CVSA 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 CVSA strangle priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 35.10%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$550.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a CVSA strangle?

The breakeven for the CVSA strangle priced on this page is roughly $119.50 and $145.50 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 CVSA market-implied 1-standard-deviation expected move in the same options snapshot is approximately 10.06%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current CVSA implied volatility affect this strangle?

Current CVSA ATM IV is 35.10%; IV rank context is unavailable in the current snapshot.

CVSA Strangle Strategy

CVSA (Covista Inc.), in the Consumer Defensive sector, (Education & Training Services industry), listed on NYSE.

Adtalem Global Education, Inc. is an enterprise dedicated to providing higher education. The company organizes its operations into three primary divisions: Chamberlain, Walden, and Medical and Veterinary. The Chamberlain segment delivers various degree and non-degree offerings within the nursing and broader health professions higher education sector. Through its Walden segment, the company offers extensive online learning options, including certificates, bachelor's, master's, and doctoral degrees in a wide range of subjects such as nursing, education, counseling, business, psychology, public health, social work, human services, public administration, public policy, and criminal justice. The Medical and Veterinary division provides both degree-granting and non-degree curricula tailored for post-secondary education in medicine and veterinary sciences. Dennis J.

CVSA (Covista Inc.) trades in the Consumer Defensive sector, specifically Education & Training Services, with a market capitalization of approximately $4.36B, a trailing P/E of 17.35, a beta of 0.62 versus the broader market, a 52-week range of 86.97-156.26, average daily share volume of 327K, a public-listing history dating back to 2026, approximately 5K full-time employees. These structural characteristics shape how CVSA stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.62 indicates CVSA 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 CVSA?

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.

CVSA snapshot

As of August 14, 2026, spot at $131.93, ATM IV 35.10%, expected move 10.06%. The strangle on CVSA 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 35-day expiry.

Why this strangle structure on CVSA specifically: IV rank is unavailable in the current snapshot, so regime-based timing for CVSA is inferred from ATM IV at 35.10% alone, with a market-implied 1-standard-deviation move of approximately 10.06% (roughly $13.28 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 CVSA expiries trade a higher absolute premium for lower per-day decay. Position sizing on CVSA should anchor to the underlying notional of $131.93 per share and to the trader's directional view on CVSA stock.

CVSA strangle setup

The CVSA strangle 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 CVSA at $131.93 on that close, the first option leg uses a $140.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CVSA 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 CVSA shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$140.00	$2.60
Buy 1	Put	$125.00	$2.90

CVSA strangle risk and reward

Net Premium / Debit: -$550.00
Max Profit (per contract): Unbounded
Max Loss (per contract): -$550.00
Breakeven(s): $119.50, $145.50
Risk / Reward Ratio: Unbounded

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.

CVSA strangle payoff curve

Modeled P&L at expiration across a range of underlying prices for the strangle on CVSA. 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%	+$11,949.00
$29.18	-77.9%	+$9,032.07
$58.35	-55.8%	+$6,115.13
$87.52	-33.7%	+$3,198.20
$116.69	-11.6%	+$281.26
$145.86	+10.6%	+$35.67
$175.03	+32.7%	+$2,952.61
$204.20	+54.8%	+$5,869.54
$233.36	+76.9%	+$8,786.48
$262.53	+99.0%	+$11,703.41

When traders use strangle on CVSA

Strangles on CVSA 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 CVSA chain.

CVSA thesis for this strangle

The market-implied 1-standard-deviation range for CVSA extends from approximately $118.65 on the downside to $145.21 on the upside. A CVSA 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. As a Consumer Defensive name, CVSA options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CVSA-specific events.

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

Frequently asked questions

What is a strangle on CVSA?: A strangle on CVSA is the strangle strategy applied to CVSA (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 CVSA stock at $131.93 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed CVSA chain strike and the premiums come straight from that session's bid/ask midpoint.
How are CVSA 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 CVSA strangle priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 35.10%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$550.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a CVSA strangle?: The breakeven for the CVSA strangle priced on this page is roughly $119.50 and $145.50 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 CVSA market-implied 1-standard-deviation expected move in the same options snapshot is approximately 10.06%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a strangle on CVSA?: Strangles on CVSA 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 CVSA chain.
How does current CVSA implied volatility affect this strangle?: Current CVSA ATM IV is 35.10%; IV rank context is unavailable in the current snapshot.