FULT Straddle Strategy
FULT (Fulton Financial Corporation), in the Financial Services sector, (Banks - Regional industry), listed on NASDAQ.
Fulton Financial Corporation operates as a financial holding company that provides consumer and commercial banking products and services. It accepts various checking accounts and savings deposit products, certificates of deposit, and individual retirement accounts. The company also offers secured consumer loans, including home equity loans and lines of credit, automobile loans, personal lines of credit, and checking account overdraft protection; construction and jumbo residential mortgage loans; and commercial lending products comprising commercial real estate, commercial and industrial, and construction loans, as well as equipment lease financing loans. In addition, it provides letters of credit, cash management services, and traditional deposit products; and wealth management services, including investment management, trust, brokerage, insurance, and investment advisory services. Further, the company owns passive investments, as well as trust preferred securities; and sells various life insurance products. It provides its products and services through traditional financial center banking, as well as through a network of automated teller machines, telephone banking, mobile banking, and online banking.
FULT (Fulton Financial Corporation) trades in the Financial Services sector, specifically Banks - Regional, with a market capitalization of approximately $3.95B, a trailing P/E of 9.44, a beta of 0.82 versus the broader market, a 52-week range of 16.6-22.99, average daily share volume of 2.1M, a public-listing history dating back to 1985, approximately 3K full-time employees. These structural characteristics shape how FULT stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.82 places FULT roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 9.44 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price. FULT pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a straddle on FULT?
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 FULT snapshot
As of May 14, 2026, spot at $21.02, ATM IV 24.30%, IV rank 3.03%, expected move 6.97%. The straddle on FULT 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 35-day expiry.
Why this straddle structure on FULT specifically: FULT IV at 24.30% is on the cheap side of its 1-year range, which favors premium-buying structures like a FULT straddle, with a market-implied 1-standard-deviation move of approximately 6.97% (roughly $1.46 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 FULT expiries trade a higher absolute premium for lower per-day decay. Position sizing on FULT should anchor to the underlying notional of $21.02 per share and to the trader's directional view on FULT stock.
FULT straddle setup
The FULT 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 FULT near $21.02, the first option leg uses a $21.02 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed FULT 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 FULT shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $21.02 | N/A |
| Buy 1 | Put | $21.02 | N/A |
FULT 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.
FULT straddle payoff curve
Modeled P&L at expiration across a range of underlying prices for the straddle on FULT. 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 FULT
Straddles on FULT are pure-volatility plays that profit from large moves in either direction; traders typically buy FULT straddles ahead of earnings, FDA decisions, or other catalysts where the realized move is expected to exceed the implied move priced into the chain.
FULT thesis for this straddle
The market-implied 1-standard-deviation range for FULT extends from approximately $19.56 on the downside to $22.48 on the upside. A FULT 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 FULT IV rank near 3.03% 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 FULT at 24.30%. As a Financial Services name, FULT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to FULT-specific events.
FULT 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. FULT positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move FULT alongside the broader basket even when FULT-specific fundamentals are unchanged. Always rebuild the position from current FULT chain quotes before placing a trade.
Frequently asked questions
- What is a straddle on FULT?
- A straddle on FULT is the straddle strategy applied to FULT (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 FULT stock trading near $21.02, the strikes shown on this page are snapped to the nearest listed FULT chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are FULT 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 FULT straddle priced from the end-of-day chain at a 30-day expiry (ATM IV 24.30%), 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 FULT straddle?
- The breakeven for the FULT straddle 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 FULT market-implied 1-standard-deviation expected move is approximately 6.97%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a straddle on FULT?
- Straddles on FULT are pure-volatility plays that profit from large moves in either direction; traders typically buy FULT 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 FULT implied volatility affect this straddle?
- FULT ATM IV is at 24.30% with IV rank near 3.03%, 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.