How are FLY bear put spread max profit and max loss calculated?

Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit. For the FLY bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 115.25%), the computed maximum profit is $85.00 per contract and the computed maximum loss is -$115.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a FLY bear put spread?

The breakeven for the FLY bear put spread priced on this page is roughly $39.85 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 FLY market-implied 1-standard-deviation expected move is approximately 33.04%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current FLY implied volatility affect this bear put spread?

FLY ATM IV is at 115.25% with IV rank near 78.69%, which is elevated relative to its 1-year range. Premium-selling structures (covered call, cash-secured put, iron condor) generally look more attractive when IV rank is high; premium-buying structures (long call, long put, debit spreads) are more expensive in that regime.

FLY Bear Put Spread Strategy

FLY (Firefly Aerospace Inc.), in the Industrials sector, (Aerospace & Defense industry), listed on NASDAQ.

Firefly Aerospace Inc. operates as a space and defense technology company and provides mission solutions for national security, government, and commercial customers. It offers integrated launch and space services technology that is committed to enabling launch, transit, and operations in space. The company also provides Alpha, a responsive small launch service; Eclipse, a medium-lift launch vehicle; Blue Ghost, a lunar delivery and operation service; Elytra, which offers space maneuverability and servicing; and Ocula, a lunar imaging service. The company was incorporated in 2017 and is headquartered in Cedar Park, Texas.

FLY (Firefly Aerospace Inc.) trades in the Industrials sector, specifically Aerospace & Defense, with a market capitalization of approximately $6.31B, a beta of -1.14 versus the broader market, a 52-week range of 16-73.8, average daily share volume of 5.6M, a public-listing history dating back to 2025, approximately 780 full-time employees. These structural characteristics shape how FLY stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of -1.14 indicates FLY 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 bear put spread on FLY?

A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width.

Current FLY snapshot

As of May 15, 2026, spot at $40.77, ATM IV 115.25%, IV rank 78.69%, expected move 33.04%. The bear put spread on FLY 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 28-day expiry.

Why this bear put spread structure on FLY specifically: FLY IV at 115.25% is rich versus its 1-year range, which makes a premium-buying FLY bear put spread relatively expensive in absolute-cost terms, with a market-implied 1-standard-deviation move of approximately 33.04% (roughly $13.47 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated FLY expiries trade a higher absolute premium for lower per-day decay. Position sizing on FLY should anchor to the underlying notional of $40.77 per share and to the trader's directional view on FLY stock.

FLY bear put spread setup

The FLY bear put spread below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With FLY near $40.77, the first option leg uses a $41.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed FLY chain at a 28-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 FLY shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Put	$41.00	$5.20
Sell 1	Put	$39.00	$4.05

FLY bear put spread risk and reward

Net Premium / Debit: -$115.00
Max Profit (per contract): $85.00
Max Loss (per contract): -$115.00
Breakeven(s): $39.85
Risk / Reward Ratio: 0.739

Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit.

FLY bear put spread payoff curve

Modeled P&L at expiration across a range of underlying prices for the bear put spread on FLY. 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%	+$85.00
$9.02	-77.9%	+$85.00
$18.04	-55.8%	+$85.00
$27.05	-33.7%	+$85.00
$36.06	-11.5%	+$85.00
$45.08	+10.6%	-$115.00
$54.09	+32.7%	-$115.00
$63.10	+54.8%	-$115.00
$72.12	+76.9%	-$115.00
$81.13	+99.0%	-$115.00

When traders use bear put spread on FLY

Bear put spreads on FLY reduce the cost of a bearish FLY stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.

FLY thesis for this bear put spread

The market-implied 1-standard-deviation range for FLY extends from approximately $27.30 on the downside to $54.24 on the upside. A FLY bear put spread caps both the risk and the reward of a bearish position; relative to an outright long put on FLY, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current FLY IV rank near 78.69% sits in the upper third of its 1-year distribution, which historically reverts; this raises the bar for premium-buying structures and lowers it for premium-selling structures on FLY at 115.25%. As a Industrials name, FLY options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to FLY-specific events.

FLY bear put spread positions are structurally moderately 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. FLY positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move FLY alongside the broader basket even when FLY-specific fundamentals are unchanged. Long-premium structures like a bear put spread on FLY 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 FLY chain quotes before placing a trade.

Frequently asked questions

What is a bear put spread on FLY?: A bear put spread on FLY is the bear put spread strategy applied to FLY (stock). The strategy is structurally moderately bearish: A bear put spread buys an at-the-money put and sells an out-of-the-money put at a lower strike for defined risk and defined reward bounded by the strike width. With FLY stock trading near $40.77, the strikes shown on this page are snapped to the nearest listed FLY chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are FLY bear put spread max profit and max loss calculated?: Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-put strike minus net debit. For the FLY bear put spread priced from the end-of-day chain at a 30-day expiry (ATM IV 115.25%), the computed maximum profit is $85.00 per contract and the computed maximum loss is -$115.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a FLY bear put spread?: The breakeven for the FLY bear put spread priced on this page is roughly $39.85 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 FLY market-implied 1-standard-deviation expected move is approximately 33.04%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a bear put spread on FLY?: Bear put spreads on FLY reduce the cost of a bearish FLY stock position by selling a lower-strike put; suited to moderate-decline theses where price reaches but does not vastly exceed the short strike.
How does current FLY implied volatility affect this bear put spread?: FLY ATM IV is at 115.25% with IV rank near 78.69%, which is elevated relative to its 1-year range. Premium-selling structures (covered call, cash-secured put, iron condor) generally look more attractive when IV rank is high; premium-buying structures (long call, long put, debit spreads) are more expensive in that regime.