FJET Straddle Strategy
FJET (Starfighters Space Inc), in the Industrials sector, (Aerospace & Defense industry), listed on AMEX.
Starfighters Space Inc. specializes in operating a privately owned fleet of operational Lockheed F-104 supersonic jets, primarily providing services to the United States Armed Forces. The company also offers specialized training programs for pilots and astronauts, along with comprehensive in-flight testing capabilities. They deliver tailored solutions across diverse sectors, including defense, civil, academic, and commercial industries, serving both private entities and public organizations. Additionally, Starfighters Space Inc. facilitates launch services and "Access to Space" capabilities for a broad clientele encompassing commercial enterprises, academic institutions, civil agencies, and government entities. The company further furnishes an advanced airborne testbed, essential for accelerating hypersonic research, development, and rigorous test and evaluation activities. Established in 2022, the company is headquartered in Cape Canaveral, Florida.
FJET (Starfighters Space Inc) trades in the Industrials sector, specifically Aerospace & Defense, with a market capitalization of approximately $233.2M, a beta of 1.61 versus the broader market, a 52-week range of 3.39-31.5, average daily share volume of 1.7M, 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 1.61 indicates FJET 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 straddle on FJET?
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.
FJET snapshot
As of August 14, 2026, spot at $4.25, ATM IV 137.70%, IV rank 42.97%, expected move 39.48%. The straddle on FJET below is built from the end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.
Why this straddle structure on FJET specifically: FJET IV at 137.70% 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 39.48% (roughly $1.68 on the underlying). The 35-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 $4.25 per share and to the trader's directional view on FJET stock.
FJET straddle setup
The FJET 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 FJET at $4.25 on that close, the first option leg uses a $4.25 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 35-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 | $4.25 | N/A |
| Buy 1 | Put | $4.25 | N/A |
FJET straddle 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
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.
FJET straddle payoff curve
Modeled P&L at expiration across a range of underlying prices for the straddle 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 straddle on FJET
Straddles on FJET are pure-volatility plays that profit from large moves in either direction; traders typically buy FJET straddles ahead of earnings, FDA decisions, or other catalysts where the realized move is expected to exceed the implied move priced into the chain.
FJET thesis for this straddle
The market-implied 1-standard-deviation range for FJET extends from approximately $2.57 on the downside to $5.93 on the upside. A FJET 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 FJET IV rank near 42.97% is mid-range against its 1-year distribution, so the IV signal is neutral; the straddle thesis on FJET should anchor more to the directional view and the expected-move geometry. 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 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. 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 straddle on FJET?
- A straddle on FJET is the straddle strategy applied to FJET (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 FJET stock at $4.25 on the most recent close, the strikes shown on this page are snapped to the nearest listed FJET chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are FJET 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 FJET straddle priced from the end-of-day chain at a 30-day expiry (ATM IV 137.70%), 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 FJET straddle?
- The breakeven for the FJET straddle priced on this page is no defined breakeven on the modeled curve at expiration, derived from the end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The FJET market-implied 1-standard-deviation expected move in the same options snapshot is approximately 39.48%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a straddle on FJET?
- Straddles on FJET are pure-volatility plays that profit from large moves in either direction; traders typically buy FJET 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 FJET implied volatility affect this straddle?
- FJET ATM IV is at 137.70% with IV rank near 42.97%, 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.