DNTH Long Put Strategy
DNTH (Dianthus Therapeutics, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Dianthus Therapeutics, Inc. operates as a clinical-stage biotechnology company that designs, develops, and delivers novel monoclonal antibodies for people living with severe autoimmune and inflammatory diseases. It develops DNTH103 that is in phase 1 clinical trails in patients with generalized myasthenia gravis, multifocal motor neuropathy, and chronic inflammatory demyelinating polyneuropathy. Dianthus Therapeutics, Inc. was incorporated in 2015 and is based in New York, New York.
DNTH (Dianthus Therapeutics, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $3.58B, a beta of 0.09 versus the broader market, a 52-week range of 16.64-96.5, average daily share volume of 958K, a public-listing history dating back to 2018, approximately 78 full-time employees. These structural characteristics shape how DNTH stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.09 indicates DNTH 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 long put on DNTH?
A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration.
Current DNTH snapshot
As of May 15, 2026, spot at $86.15, ATM IV 57.70%, IV rank 2.26%, expected move 16.54%. The long put on DNTH 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 98-day expiry.
Why this long put structure on DNTH specifically: DNTH IV at 57.70% is on the cheap side of its 1-year range, which favors premium-buying structures like a DNTH long put, with a market-implied 1-standard-deviation move of approximately 16.54% (roughly $14.25 on the underlying). The 98-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated DNTH expiries trade a higher absolute premium for lower per-day decay. Position sizing on DNTH should anchor to the underlying notional of $86.15 per share and to the trader's directional view on DNTH stock.
DNTH long put setup
The DNTH long put below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With DNTH near $86.15, the first option leg uses a $85.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed DNTH chain at a 98-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 DNTH shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $85.00 | $11.90 |
DNTH long put risk and reward
- Net Premium / Debit
- -$1,190.00
- Max Profit (per contract)
- $7,309.00
- Max Loss (per contract)
- -$1,190.00
- Breakeven(s)
- $73.10
- Risk / Reward Ratio
- 6.142
Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium.
DNTH long put payoff curve
Modeled P&L at expiration across a range of underlying prices for the long put on DNTH. 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.
| Underlying Price | % From Spot | P&L at Expiration |
|---|---|---|
| $0.01 | -100.0% | +$7,309.00 |
| $19.06 | -77.9% | +$5,404.29 |
| $38.10 | -55.8% | +$3,499.57 |
| $57.15 | -33.7% | +$1,594.86 |
| $76.20 | -11.6% | -$309.85 |
| $95.25 | +10.6% | -$1,190.00 |
| $114.29 | +32.7% | -$1,190.00 |
| $133.34 | +54.8% | -$1,190.00 |
| $152.39 | +76.9% | -$1,190.00 |
| $171.43 | +99.0% | -$1,190.00 |
When traders use long put on DNTH
Long puts on DNTH hedge an existing long DNTH stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying DNTH exposure being hedged.
DNTH thesis for this long put
The market-implied 1-standard-deviation range for DNTH extends from approximately $71.90 on the downside to $100.40 on the upside. A DNTH long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long DNTH position with one put per 100 shares held. Current DNTH IV rank near 2.26% 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 DNTH at 57.70%. As a Healthcare name, DNTH options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to DNTH-specific events.
DNTH long put positions are structurally bearish; 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. DNTH positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move DNTH alongside the broader basket even when DNTH-specific fundamentals are unchanged. Long-premium structures like a long put on DNTH are particularly exposed to IV-crush risk through scheduled events (earnings, FDA decisions, central-bank meetings) where IV typically contracts post-event regardless of the directional outcome. Always rebuild the position from current DNTH chain quotes before placing a trade.
Frequently asked questions
- What is a long put on DNTH?
- A long put on DNTH is the long put strategy applied to DNTH (stock). The strategy is structurally bearish: A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration. With DNTH stock trading near $86.15, the strikes shown on this page are snapped to the nearest listed DNTH chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are DNTH long put max profit and max loss calculated?
- Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium. For the DNTH long put priced from the end-of-day chain at a 30-day expiry (ATM IV 57.70%), the computed maximum profit is $7,309.00 per contract and the computed maximum loss is -$1,190.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a DNTH long put?
- The breakeven for the DNTH long put priced on this page is roughly $73.10 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 DNTH market-implied 1-standard-deviation expected move is approximately 16.54%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a long put on DNTH?
- Long puts on DNTH hedge an existing long DNTH stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying DNTH exposure being hedged.
- How does current DNTH implied volatility affect this long put?
- DNTH ATM IV is at 57.70% with IV rank near 2.26%, 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.