How are HLNE 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 HLNE butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 60.90%), the computed maximum profit is $411.94 per contract and the computed maximum loss is -$75.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a HLNE butterfly?

The breakeven for the HLNE butterfly priced on this page is roughly $70.75 and $79.25 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 HLNE market-implied 1-standard-deviation expected move is approximately 17.46%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current HLNE implied volatility affect this butterfly?

HLNE ATM IV is at 60.90% with IV rank near 69.01%, 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.

HLNE Butterfly Strategy

HLNE (Hamilton Lane Incorporated), in the Financial Services sector, (Asset Management industry), listed on NASDAQ.

Hamilton Lane Incorporated operates as an investment management firm, specializing in both direct investments and fund-of-funds strategies. The firm offers a comprehensive range of services, including: Tailored Separate Accounts: Structured as single-client vehicles, these are customized to meet specific client requirements. Specialized Investment Strategies: This category encompasses offerings such as fund-of-funds, secondary market transactions, co-investments, Taft-Hartley plans, and distribution management. Advisory Services: Hamilton Lane provides expert guidance, covering thorough due diligence, strategic portfolio planning, continuous monitoring, and performance reporting. Reporting and Analytics: The company also delivers advanced solutions for data reporting and analysis. For its direct investments, Hamilton Lane targets a diverse array of companies, participating across various stages of their lifecycle.

HLNE (Hamilton Lane Incorporated) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $4.32B, a trailing P/E of 13.03, a beta of 1.16 versus the broader market, a 52-week range of 71.88-161.13, average daily share volume of 931K, a public-listing history dating back to 2017, approximately 700 full-time employees. These structural characteristics shape how HLNE stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.16 places HLNE roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. HLNE pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a butterfly on HLNE?

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 HLNE snapshot

As of June 29, 2026, spot at $74.75, ATM IV 60.90%, IV rank 69.01%, expected move 17.46%. The butterfly on HLNE 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 53-day expiry.

Why this butterfly structure on HLNE specifically: HLNE IV at 60.90% 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 17.46% (roughly $13.05 on the underlying). The 53-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated HLNE expiries trade a higher absolute premium for lower per-day decay. Position sizing on HLNE should anchor to the underlying notional of $74.75 per share and to the trader's directional view on HLNE stock.

HLNE butterfly setup

The HLNE 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 HLNE near $74.75, the first option leg uses a $70.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HLNE chain at a 53-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 HLNE shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$70.00	$8.60
Sell 2	Call	$75.00	$5.90
Buy 1	Call	$80.00	$3.95

HLNE butterfly risk and reward

Net Premium / Debit: -$75.00
Max Profit (per contract): $411.94
Max Loss (per contract): -$75.00
Breakeven(s): $70.75, $79.25
Risk / Reward Ratio: 5.493

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.

HLNE butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on HLNE. 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.

P&L at expiration across the modeled underlying-price range. Green shading marks profitable regions, red shading marks loss regions. Dotted purple verticals mark breakevens; the solid dark vertical marks current spot.

Underlying Price	% From Spot	P&L at Expiration
$0.01	-100.0%	-$75.00
$16.54	-77.9%	-$75.00
$33.06	-55.8%	-$75.00
$49.59	-33.7%	-$75.00
$66.12	-11.6%	-$75.00
$82.64	+10.6%	-$75.00
$99.17	+32.7%	-$75.00
$115.70	+54.8%	-$75.00
$132.22	+76.9%	-$75.00
$148.75	+99.0%	-$75.00

When traders use butterfly on HLNE

Butterflies on HLNE are pinning bets - traders use them when they expect HLNE 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.

HLNE thesis for this butterfly

The market-implied 1-standard-deviation range for HLNE extends from approximately $61.70 on the downside to $87.80 on the upside. A HLNE long call butterfly is a pinning play: it pays maximum at the middle strike if HLNE settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current HLNE IV rank near 69.01% is mid-range against its 1-year distribution, so the IV signal is neutral; the butterfly thesis on HLNE should anchor more to the directional view and the expected-move geometry. As a Financial Services name, HLNE options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HLNE-specific events.

HLNE 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. HLNE positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HLNE alongside the broader basket even when HLNE-specific fundamentals are unchanged. Always rebuild the position from current HLNE chain quotes before placing a trade.

Frequently asked questions

What is a butterfly on HLNE?: A butterfly on HLNE is the butterfly strategy applied to HLNE (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 HLNE stock trading near $74.75, the strikes shown on this page are snapped to the nearest listed HLNE chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are HLNE 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 HLNE butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 60.90%), the computed maximum profit is $411.94 per contract and the computed maximum loss is -$75.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a HLNE butterfly?: The breakeven for the HLNE butterfly priced on this page is roughly $70.75 and $79.25 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 HLNE market-implied 1-standard-deviation expected move is approximately 17.46%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on HLNE?: Butterflies on HLNE are pinning bets - traders use them when they expect HLNE 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 HLNE implied volatility affect this butterfly?: HLNE ATM IV is at 60.90% with IV rank near 69.01%, 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.