FJET Butterfly Strategy
FJET (Starfighters Space Inc), in the Industrials sector, (Aerospace & Defense industry), listed on AMEX.
Starfighters Space, Inc. engages in the operation of a commercial fleet of flight-ready F-104 supersonic aircraft, Lockheed F-104 for the United States Armed Forces. It also offers pilot and astronaut training and in-flight testing related services and offers solutions for defense, civil, academic and commercial industries in the private and public sectors. The company also offers launch services and Access to Space services for commercial, academic, civil and government clients; and provides airborne testbed for hypersonic research and development, and test and evaluation services. The company was incorporated in 2022 and is based in Cape Canaveral, Florida.
FJET (Starfighters Space Inc) trades in the Industrials sector, specifically Aerospace & Defense, with a market capitalization of approximately $140.3M, a beta of -0.43 versus the broader market, a 52-week range of 4.5101-28.74, average daily share volume of 9.4M, a public-listing history dating back to 2025. These structural characteristics shape how FJET stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of -0.43 indicates FJET 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 butterfly on FJET?
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 FJET snapshot
As of May 15, 2026, spot at $5.49, ATM IV 184.80%, expected move 52.98%. The butterfly on FJET 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 FJET specifically: IV rank is unavailable in the current snapshot, so regime-based timing for FJET is inferred from ATM IV at 184.80% alone, with a market-implied 1-standard-deviation move of approximately 52.98% (roughly $2.91 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 FJET expiries trade a higher absolute premium for lower per-day decay. Position sizing on FJET should anchor to the underlying notional of $5.49 per share and to the trader's directional view on FJET stock.
FJET butterfly setup
The FJET 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 FJET near $5.49, the first option leg uses a $5.22 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed FJET 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 FJET shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $5.22 | N/A |
| Sell 2 | Call | $5.49 | N/A |
| Buy 1 | Call | $5.76 | N/A |
FJET 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.
FJET butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on FJET. 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 FJET
Butterflies on FJET are pinning bets - traders use them when they expect FJET 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.
FJET thesis for this butterfly
The market-implied 1-standard-deviation range for FJET extends from approximately $2.58 on the downside to $8.40 on the upside. A FJET long call butterfly is a pinning play: it pays maximum at the middle strike if FJET settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. As a Industrials name, FJET options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to FJET-specific events.
FJET 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. FJET positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move FJET alongside the broader basket even when FJET-specific fundamentals are unchanged. Always rebuild the position from current FJET chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on FJET?
- A butterfly on FJET is the butterfly strategy applied to FJET (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 FJET stock trading near $5.49, the strikes shown on this page are snapped to the nearest listed FJET chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are FJET 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 FJET butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 184.80%), 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 FJET butterfly?
- The breakeven for the FJET 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 FJET market-implied 1-standard-deviation expected move is approximately 52.98%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on FJET?
- Butterflies on FJET are pinning bets - traders use them when they expect FJET 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 FJET implied volatility affect this butterfly?
- Current FJET ATM IV is 184.80%; IV rank context is unavailable in the current snapshot.