HUBS Butterfly Strategy
HUBS (HubSpot, Inc.), in the Technology sector, (Software - Application industry), listed on NYSE.
HubSpot, Inc. offers an expansive, cloud-hosted customer relationship management (CRM) platform, catering to businesses across the Americas, Europe, and the Asia Pacific. This integrated system features fundamental modules for marketing, sales, customer service, and content management. Additionally, the platform is equipped with a wide array of specialized tools to optimize operations, such as search engine optimization (SEO), blogging, website management, instant messaging, AI-driven chatbots, social media management, marketing automation, email communications, and predictive lead scoring. It further includes functionalities for boosting sales productivity, creating knowledge bases, facilitating e-commerce, directing conversations, hosting videos, and managing ticketing and helpdesk inquiries. Customer satisfaction is also addressed through NPS surveys, complemented by comprehensive analytics and reporting features. Beyond the software, HubSpot offers professional services to educate and train clients on maximizing the CRM's potential, alongside accessible support options via phone, email, and live chat.
HUBS (HubSpot, Inc.) trades in the Technology sector, specifically Software - Application, with a market capitalization of approximately $10.76B, a trailing P/E of 72.35, a beta of 1.17 versus the broader market, a 52-week range of 169.63-525.51, average daily share volume of 1.9M, a public-listing history dating back to 2014, approximately 9K full-time employees. These structural characteristics shape how HUBS stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.17 places HUBS roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 72.35 is on the rich side, which tends to correlate with higher earnings-window IV expansion as the market debates whether forward growth supports the multiple.
What is a butterfly on HUBS?
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.
HUBS snapshot
As of August 14, 2026, spot at $224.10, ATM IV 62.80%, IV rank 26.09%, expected move 18.00%. The butterfly on HUBS below is built from the August 14, 2026 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 butterfly structure on HUBS specifically: HUBS IV at 62.80% is on the cheap side of its 1-year range, which favors premium-buying structures like a HUBS butterfly, with a market-implied 1-standard-deviation move of approximately 18.00% (roughly $40.35 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 HUBS expiries trade a higher absolute premium for lower per-day decay. Position sizing on HUBS should anchor to the underlying notional of $224.10 per share and to the trader's directional view on HUBS stock.
HUBS butterfly setup
The HUBS butterfly below is built from the August 14, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With HUBS at $224.10 on that close, the first option leg uses a $210.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed HUBS 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 HUBS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $210.00 | $24.95 |
| Sell 2 | Call | $220.00 | $19.60 |
| Buy 1 | Call | $240.00 | $11.70 |
HUBS butterfly risk and reward
- Net Premium / Debit
- +$255.00
- Max Profit (per contract)
- $1,182.33
- Max Loss (per contract)
- -$745.00
- Breakeven(s)
- $232.55
- Risk / Reward Ratio
- 1.587
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.
HUBS butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on HUBS. 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% | +$255.00 |
| $49.56 | -77.9% | +$255.00 |
| $99.11 | -55.8% | +$255.00 |
| $148.66 | -33.7% | +$255.00 |
| $198.20 | -11.6% | +$255.00 |
| $247.75 | +10.6% | -$745.00 |
| $297.30 | +32.7% | -$745.00 |
| $346.85 | +54.8% | -$745.00 |
| $396.40 | +76.9% | -$745.00 |
| $445.95 | +99.0% | -$745.00 |
When traders use butterfly on HUBS
Butterflies on HUBS are pinning bets - traders use them when they expect HUBS 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.
HUBS thesis for this butterfly
The market-implied 1-standard-deviation range for HUBS extends from approximately $183.75 on the downside to $264.45 on the upside. A HUBS long call butterfly is a pinning play: it pays maximum at the middle strike if HUBS settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current HUBS IV rank near 26.09% 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 HUBS at 62.80%. As a Technology name, HUBS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to HUBS-specific events.
HUBS 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. HUBS positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move HUBS alongside the broader basket even when HUBS-specific fundamentals are unchanged. Always rebuild the position from current HUBS chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on HUBS?
- A butterfly on HUBS is the butterfly strategy applied to HUBS (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 HUBS stock at $224.10 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed HUBS chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are HUBS 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 HUBS butterfly priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 62.80%), the computed maximum profit is $1,182.33 per contract and the computed maximum loss is -$745.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a HUBS butterfly?
- The breakeven for the HUBS butterfly priced on this page is roughly $232.55 at expiration, derived from the August 14, 2026 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 HUBS market-implied 1-standard-deviation expected move in the same options snapshot is approximately 18.00%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on HUBS?
- Butterflies on HUBS are pinning bets - traders use them when they expect HUBS 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 HUBS implied volatility affect this butterfly?
- HUBS ATM IV is at 62.80% with IV rank near 26.09%, 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.