How are IMVT 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 IMVT butterfly priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 70.10%), the computed maximum profit is $189.91 per contract and the computed maximum loss is -$95.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a IMVT butterfly?

The breakeven for the IMVT butterfly priced on this page is roughly $39.95 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 IMVT market-implied 1-standard-deviation expected move in the same options snapshot is approximately 20.10%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current IMVT implied volatility affect this butterfly?

IMVT ATM IV is at 70.10% with IV rank near 25.66%, 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.

IMVT Butterfly Strategy

IMVT (Immunovant, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.

Immunovant, Inc. is a biopharmaceutical firm in the clinical development phase, dedicated to advancing novel monoclonal antibody therapies for the treatment of various autoimmune conditions. The company's primary focus is batoclimab, a pioneering, fully human monoclonal antibody. This antibody is engineered to specifically target and block the neonatal fragment crystallizable receptor (FcRn), a key mechanism in certain autoimmune diseases. Batoclimab is currently undergoing Phase IIa clinical evaluations for treating both myasthenia gravis and thyroid eye disease. Additionally, it has commenced Phase II clinical studies for patients suffering from warm autoimmune hemolytic anemia. Established in 2018, Immunovant operates from its headquarters in New York, New York, functioning as a subsidiary under the umbrella of Roivant Sciences Ltd.

IMVT (Immunovant, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $8.79B, a beta of 0.81 versus the broader market, a 52-week range of 14.47-42.62, average daily share volume of 1.7M, a public-listing history dating back to 2019, approximately 315 full-time employees. These structural characteristics shape how IMVT stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.81 places IMVT roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.

What is a butterfly on IMVT?

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.

IMVT snapshot

As of August 14, 2026, spot at $41.52, ATM IV 70.10%, IV rank 25.66%, expected move 20.10%. The butterfly on IMVT 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 IMVT specifically: IMVT IV at 70.10% is on the cheap side of its 1-year range, which favors premium-buying structures like a IMVT butterfly, with a market-implied 1-standard-deviation move of approximately 20.10% (roughly $8.34 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 IMVT expiries trade a higher absolute premium for lower per-day decay. Position sizing on IMVT should anchor to the underlying notional of $41.52 per share and to the trader's directional view on IMVT stock.

IMVT butterfly setup

The IMVT 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 IMVT at $41.52 on that close, the first option leg uses a $39.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed IMVT 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 IMVT shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$39.00	$5.00
Sell 2	Call	$42.00	$3.30
Buy 1	Call	$44.00	$2.55

IMVT butterfly risk and reward

Net Premium / Debit: -$95.00
Max Profit (per contract): $189.91
Max Loss (per contract): -$95.00
Breakeven(s): $39.95
Risk / Reward Ratio: 1.999

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.

IMVT butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on IMVT. 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%	-$95.00
$9.19	-77.9%	-$95.00
$18.37	-55.8%	-$95.00
$27.55	-33.7%	-$95.00
$36.73	-11.5%	-$95.00
$45.91	+10.6%	+$5.00
$55.09	+32.7%	+$5.00
$64.26	+54.8%	+$5.00
$73.44	+76.9%	+$5.00
$82.62	+99.0%	+$5.00

When traders use butterfly on IMVT

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

IMVT thesis for this butterfly

The market-implied 1-standard-deviation range for IMVT extends from approximately $33.18 on the downside to $49.86 on the upside. A IMVT long call butterfly is a pinning play: it pays maximum at the middle strike if IMVT settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current IMVT IV rank near 25.66% 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 IMVT at 70.10%. As a Healthcare name, IMVT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to IMVT-specific events.

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

Frequently asked questions

What is a butterfly on IMVT?: A butterfly on IMVT is the butterfly strategy applied to IMVT (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 IMVT stock at $41.52 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed IMVT chain strike and the premiums come straight from that session's bid/ask midpoint.
How are IMVT 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 IMVT butterfly priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 70.10%), the computed maximum profit is $189.91 per contract and the computed maximum loss is -$95.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a IMVT butterfly?: The breakeven for the IMVT butterfly priced on this page is roughly $39.95 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 IMVT market-implied 1-standard-deviation expected move in the same options snapshot is approximately 20.10%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on IMVT?: Butterflies on IMVT are pinning bets - traders use them when they expect IMVT 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 IMVT implied volatility affect this butterfly?: IMVT ATM IV is at 70.10% with IV rank near 25.66%, 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.