DCBO Butterfly Strategy
DCBO (Docebo Inc.), in the Technology sector, (Software - Application industry), listed on NASDAQ.
Docebo Inc. develops and provides learning management platform for training in Canada, the United States, and internationally. The company’s cloud platform consists of a learning suite, which includes Docebo Learn platform, a cloud-based learning platform that allows learning administrators to deliver personalized learning; Docebo Content Marketplace, an access to off-the-shelf learning content and provide predeveloped learning content; Insights module allows organizations to understand the results of learning programs with data visualizations; Learning Evaluation module to incorporate the learner’s perspective into analyses by collection of feedback; and Advanced Analytics Pack to integrate learning data into data ecosystem and BI tool. It also offers Communities module enabling interactive learner communities; eCommerce module that monetize from digital training contents, as well as manage and sells training offerings; eCommerce module to monetize training programs; Docebo Integrations; Headless Learning allows businesses to build learning experiences outside of the Docebo learning environment; Harmony Search, an AI-powered search capability. In addition, the company provides Docebo Creator enables organizations to design, scale, and deploy learning contents; Docebo for Salesforce, an integration of Salesforce’s APIs and technology architecture to deliver a learning experience within Salesforce workflows; Docebo Embed (OEM) enables original equipment manufacturers to embed and resell the Docebo learning platform; Docebo Branded Mobile App Publisher, allows organizations to create and distribute a branded version of Docebo’s mobile learning application; Docebo Extended Enterprise supports customer education, partner enablement, and retention by enabling organizations to train external audiences from a single LMS; and Docebo for Microsoft Teams. The company was founded in 2005 and is headquartered in Toronto, Canada.
DCBO (Docebo Inc.) trades in the Technology sector, specifically Software - Application, with a market capitalization of approximately $444.7M, a trailing P/E of 14.29, a beta of 0.76 versus the broader market, a 52-week range of 14.39-33.42, average daily share volume of 151K, a public-listing history dating back to 2020, approximately 938 full-time employees. These structural characteristics shape how DCBO stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.76 places DCBO roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a butterfly on DCBO?
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 DCBO snapshot
As of June 30, 2026, spot at $17.96, ATM IV 87.70%, IV rank 16.45%, expected move 25.14%. The butterfly on DCBO 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 DCBO specifically: DCBO IV at 87.70% is on the cheap side of its 1-year range, which favors premium-buying structures like a DCBO butterfly, with a market-implied 1-standard-deviation move of approximately 25.14% (roughly $4.52 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 DCBO expiries trade a higher absolute premium for lower per-day decay. Position sizing on DCBO should anchor to the underlying notional of $17.96 per share and to the trader's directional view on DCBO stock.
DCBO butterfly setup
The DCBO 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 DCBO near $17.96, the first option leg uses a $17.06 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed DCBO 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 DCBO shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $17.06 | N/A |
| Sell 2 | Call | $17.96 | N/A |
| Buy 1 | Call | $18.86 | N/A |
DCBO 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.
DCBO butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on DCBO. 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 DCBO
Butterflies on DCBO are pinning bets - traders use them when they expect DCBO 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.
DCBO thesis for this butterfly
The market-implied 1-standard-deviation range for DCBO extends from approximately $13.44 on the downside to $22.48 on the upside. A DCBO long call butterfly is a pinning play: it pays maximum at the middle strike if DCBO settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current DCBO IV rank near 16.45% 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 DCBO at 87.70%. As a Technology name, DCBO options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to DCBO-specific events.
DCBO 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. DCBO positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move DCBO alongside the broader basket even when DCBO-specific fundamentals are unchanged. Always rebuild the position from current DCBO chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on DCBO?
- A butterfly on DCBO is the butterfly strategy applied to DCBO (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 DCBO stock trading near $17.96, the strikes shown on this page are snapped to the nearest listed DCBO chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are DCBO 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 DCBO butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 87.70%), 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 DCBO butterfly?
- The breakeven for the DCBO 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 DCBO market-implied 1-standard-deviation expected move is approximately 25.14%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on DCBO?
- Butterflies on DCBO are pinning bets - traders use them when they expect DCBO 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 DCBO implied volatility affect this butterfly?
- DCBO ATM IV is at 87.70% with IV rank near 16.45%, 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.