EXK Butterfly Strategy
EXK (Endeavour Silver Corp.), in the Basic Materials sector, (Other Precious Metals industry), listed on NYSE.
Endeavour Silver Corp., a silver mining company, engages in the acquisition, exploration, development, extraction, processing, refining, and reclamation of mineral properties in Mexico and Chile. The company explores for gold and silver deposits, and precious metals. The company operates two producing silver-gold mines in Mexico, such as the Guanaceví mine in Durango; and the Bolañitos mine in Guanajuato. It is also advancing two exploration and development projects in Mexico, including the Terronera property in Jalisco; and the Parral properties in Chihuahua. In addition, the company holds interests in three exploration projects in northern Chile comprising the Aida silver project, the Paloma gold project, and the Cerro Marquez copper-molybdenum gold project. The company was formerly known as Endeavour Gold Corp. and changed its name to Endeavour Silver Corp. in September 2004.
EXK (Endeavour Silver Corp.) trades in the Basic Materials sector, specifically Other Precious Metals, with a market capitalization of approximately $3.34B, a beta of 2.41 versus the broader market, a 52-week range of 3.14-15.15, average daily share volume of 10.0M, a public-listing history dating back to 2006, approximately 2K full-time employees. These structural characteristics shape how EXK stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 2.41 indicates EXK has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.
What is a butterfly on EXK?
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 EXK snapshot
As of May 15, 2026, spot at $9.82, ATM IV 77.20%, IV rank 44.14%, expected move 22.13%. The butterfly on EXK 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 34-day expiry.
Why this butterfly structure on EXK specifically: EXK IV at 77.20% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 22.13% (roughly $2.17 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated EXK expiries trade a higher absolute premium for lower per-day decay. Position sizing on EXK should anchor to the underlying notional of $9.82 per share and to the trader's directional view on EXK stock.
EXK butterfly setup
The EXK 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 EXK near $9.82, the first option leg uses a $9.33 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed EXK chain at a 34-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 EXK shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $9.33 | N/A |
| Sell 2 | Call | $9.82 | N/A |
| Buy 1 | Call | $10.31 | N/A |
EXK 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.
EXK butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on EXK. 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 EXK
Butterflies on EXK are pinning bets - traders use them when they expect EXK 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.
EXK thesis for this butterfly
The market-implied 1-standard-deviation range for EXK extends from approximately $7.65 on the downside to $11.99 on the upside. A EXK long call butterfly is a pinning play: it pays maximum at the middle strike if EXK settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current EXK IV rank near 44.14% is mid-range against its 1-year distribution, so the IV signal is neutral; the butterfly thesis on EXK should anchor more to the directional view and the expected-move geometry. As a Basic Materials name, EXK options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to EXK-specific events.
EXK 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. EXK positions also carry Basic Materials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move EXK alongside the broader basket even when EXK-specific fundamentals are unchanged. Always rebuild the position from current EXK chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on EXK?
- A butterfly on EXK is the butterfly strategy applied to EXK (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 EXK stock trading near $9.82, the strikes shown on this page are snapped to the nearest listed EXK chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are EXK 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 EXK butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 77.20%), 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 EXK butterfly?
- The breakeven for the EXK 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 EXK market-implied 1-standard-deviation expected move is approximately 22.13%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on EXK?
- Butterflies on EXK are pinning bets - traders use them when they expect EXK 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 EXK implied volatility affect this butterfly?
- EXK ATM IV is at 77.20% with IV rank near 44.14%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.