How are ENB straddle max profit and max loss calculated?

Upside max profit is unbounded; downside max profit is bounded at the strike minus the combined call plus put debit (reached at zero). Max loss equals the combined debit times 100 (reached when the underlying pins to the strike). Two breakevens at strike plus debit and strike minus debit. For the ENB straddle priced from the end-of-day chain at a 30-day expiry (ATM IV 18.50%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$664.78 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a ENB straddle?

The breakeven for the ENB straddle priced on this page is roughly $48.25 and $61.75 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 ENB market-implied 1-standard-deviation expected move is approximately 5.30%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current ENB implied volatility affect this straddle?

ENB ATM IV is at 18.50% with IV rank near 17.21%, 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.

ENB Straddle Strategy

ENB (Enbridge Inc.), in the Energy sector, (Oil & Gas Midstream industry), listed on NYSE.

Enbridge Inc. operates as an energy infrastructure company. The company operates through five segments: Liquids Pipelines, Gas Transmission and Midstream, Gas Distribution and Storage, Renewable Power Generation, and Energy Services. The Liquids Pipelines segment operates pipelines and related terminals to transport various grades of crude oil and other liquid hydrocarbons in Canada and the United States. The Gas Transmission and Midstream segment invests in natural gas pipelines, and gathering and processing facilities in Canada and the United States. The Gas Distribution and Storage segment is involved in natural gas utility operations serving residential, commercial, and industrial customers in Ontario, as well as natural gas distribution and energy transportation activities in Quebec. The Renewable Power Generation segment operates power generating assets, such as wind, solar, geothermal, and waste heat recovery facilities; and transmission assets in North America and Europe.

ENB (Enbridge Inc.) trades in the Energy sector, specifically Oil & Gas Midstream, with a market capitalization of approximately $120.52B, a trailing P/E of 21.84, a beta of 0.79 versus the broader market, a 52-week range of 43.59-55.49, average daily share volume of 4.6M, a public-listing history dating back to 1984, approximately 15K full-time employees. These structural characteristics shape how ENB stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.79 places ENB roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. ENB pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a straddle on ENB?

A long straddle buys an ATM call and an ATM put at the same strike, profiting from a large move in either direction; max loss equals the combined debit when the underlying pins to the strike at expiration.

Current ENB snapshot

As of May 15, 2026, spot at $55.17, ATM IV 18.50%, IV rank 17.21%, expected move 5.30%. The straddle on ENB 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 245-day expiry.

Why this straddle structure on ENB specifically: ENB IV at 18.50% is on the cheap side of its 1-year range, which favors premium-buying structures like a ENB straddle, with a market-implied 1-standard-deviation move of approximately 5.30% (roughly $2.93 on the underlying). The 245-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated ENB expiries trade a higher absolute premium for lower per-day decay. Position sizing on ENB should anchor to the underlying notional of $55.17 per share and to the trader's directional view on ENB stock.

ENB straddle setup

The ENB straddle below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With ENB near $55.17, the first option leg uses a $55.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ENB chain at a 245-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 ENB shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$55.00	$3.50
Buy 1	Put	$55.00	$3.25

ENB straddle risk and reward

Net Premium / Debit: -$675.00
Max Profit (per contract): Unbounded
Max Loss (per contract): -$664.78
Breakeven(s): $48.25, $61.75
Risk / Reward Ratio: Unbounded

Upside max profit is unbounded; downside max profit is bounded at the strike minus the combined call plus put debit (reached at zero). Max loss equals the combined debit times 100 (reached when the underlying pins to the strike). Two breakevens at strike plus debit and strike minus debit.

ENB straddle payoff curve

Modeled P&L at expiration across a range of underlying prices for the straddle on ENB. 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%	+$4,824.00
$12.21	-77.9%	+$3,604.27
$24.40	-55.8%	+$2,384.54
$36.60	-33.7%	+$1,164.81
$48.80	-11.5%	-$54.91
$61.00	+10.6%	-$75.36
$73.19	+32.7%	+$1,144.37
$85.39	+54.8%	+$2,364.10
$97.59	+76.9%	+$3,583.83
$109.79	+99.0%	+$4,803.56

When traders use straddle on ENB

Straddles on ENB are pure-volatility plays that profit from large moves in either direction; traders typically buy ENB straddles ahead of earnings, FDA decisions, or other catalysts where the realized move is expected to exceed the implied move priced into the chain.

ENB thesis for this straddle

The market-implied 1-standard-deviation range for ENB extends from approximately $52.24 on the downside to $58.10 on the upside. A ENB long straddle is a pure-volatility play: it profits when the underlying moves far enough from the strike in either direction to overcome the combined call plus put debit, regardless of direction. Current ENB IV rank near 17.21% 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 ENB at 18.50%. As a Energy name, ENB options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ENB-specific events.

ENB straddle positions are structurally neutral / high-volatility (long premium); 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. ENB positions also carry Energy sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ENB alongside the broader basket even when ENB-specific fundamentals are unchanged. Always rebuild the position from current ENB chain quotes before placing a trade.

Frequently asked questions

What is a straddle on ENB?: A straddle on ENB is the straddle strategy applied to ENB (stock). The strategy is structurally neutral / high-volatility (long premium): A long straddle buys an ATM call and an ATM put at the same strike, profiting from a large move in either direction; max loss equals the combined debit when the underlying pins to the strike at expiration. With ENB stock trading near $55.17, the strikes shown on this page are snapped to the nearest listed ENB chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are ENB straddle max profit and max loss calculated?: Upside max profit is unbounded; downside max profit is bounded at the strike minus the combined call plus put debit (reached at zero). Max loss equals the combined debit times 100 (reached when the underlying pins to the strike). Two breakevens at strike plus debit and strike minus debit. For the ENB straddle priced from the end-of-day chain at a 30-day expiry (ATM IV 18.50%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$664.78 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a ENB straddle?: The breakeven for the ENB straddle priced on this page is roughly $48.25 and $61.75 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 ENB market-implied 1-standard-deviation expected move is approximately 5.30%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a straddle on ENB?: Straddles on ENB are pure-volatility plays that profit from large moves in either direction; traders typically buy ENB straddles ahead of earnings, FDA decisions, or other catalysts where the realized move is expected to exceed the implied move priced into the chain.
How does current ENB implied volatility affect this straddle?: ENB ATM IV is at 18.50% with IV rank near 17.21%, 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.