How are ISRG 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 ISRG straddle priced from the end-of-day chain at a 30-day expiry (ATM IV 42.00%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$3,709.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a ISRG straddle?

The breakeven for the ISRG straddle priced on this page is roughly $360.90 and $439.10 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 ISRG market-implied 1-standard-deviation expected move is approximately 12.04%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current ISRG implied volatility affect this straddle?

ISRG ATM IV is at 42.00% with IV rank near 74.87%, 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.

ISRG Straddle Strategy

ISRG (Intuitive Surgical, Inc.), in the Healthcare sector, (Medical - Devices industry), listed on NASDAQ.

Intuitive Surgical, Inc. is a leading medical technology firm dedicated to advancing patient care by developing, producing, and commercializing sophisticated tools. These innovations empower medical professionals to deliver superior, accessible, and less-invasive treatment options to patients both within the United States and across international markets. Its flagship offering, the da Vinci Surgical System, facilitates intricate operations through a minimally disruptive approach. Expanding beyond surgical applications, the company also provides the Ion endoluminal system, designed for diagnostic interventions like minimally invasive lung biopsies. Complementing its primary systems, Intuitive Surgical supplies a comprehensive array of instruments, including stapling tools, energy devices, and essential core components. Furthermore, it offers structured training programs to ensure proficient use of its technology, alongside extensive customer support services encompassing installation, repairs, and ongoing maintenance.

ISRG (Intuitive Surgical, Inc.) trades in the Healthcare sector, specifically Medical - Devices, with a market capitalization of approximately $143.18B, a trailing P/E of 48.16, a beta of 1.45 versus the broader market, a 52-week range of 396.68-603.88, average daily share volume of 2.3M, a public-listing history dating back to 2000, approximately 16K full-time employees. These structural characteristics shape how ISRG stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.45 indicates ISRG has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. The trailing P/E of 48.16 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 straddle on ISRG?

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 ISRG snapshot

As of June 30, 2026, spot at $400.00, ATM IV 42.00%, IV rank 74.87%, expected move 12.04%. The straddle on ISRG 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 31-day expiry.

Why this straddle structure on ISRG specifically: ISRG IV at 42.00% is rich versus its 1-year range, which makes a premium-buying ISRG straddle relatively expensive in absolute-cost terms, with a market-implied 1-standard-deviation move of approximately 12.04% (roughly $48.17 on the underlying). The 31-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated ISRG expiries trade a higher absolute premium for lower per-day decay. Position sizing on ISRG should anchor to the underlying notional of $400.00 per share and to the trader's directional view on ISRG stock.

ISRG straddle setup

The ISRG 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 ISRG near $400.00, the first option leg uses a $400.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ISRG chain at a 31-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 ISRG shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$400.00	$20.10
Buy 1	Put	$400.00	$19.00

ISRG straddle risk and reward

Net Premium / Debit: -$3,910.00
Max Profit (per contract): Unbounded
Max Loss (per contract): -$3,709.50
Breakeven(s): $360.90, $439.10
Risk / Reward Ratio: Unbounded

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.

ISRG straddle payoff curve

Modeled P&L at expiration across a range of underlying prices for the straddle on ISRG. 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%	+$36,089.00
$88.45	-77.9%	+$27,244.89
$176.89	-55.8%	+$18,400.78
$265.33	-33.7%	+$9,556.67
$353.77	-11.6%	+$712.56
$442.22	+10.6%	+$311.55
$530.66	+32.7%	+$9,155.66
$619.10	+54.8%	+$17,999.77
$707.54	+76.9%	+$26,843.88
$795.98	+99.0%	+$35,687.99

When traders use straddle on ISRG

Straddles on ISRG are pure-volatility plays that profit from large moves in either direction; traders typically buy ISRG straddles ahead of earnings, FDA decisions, or other catalysts where the realized move is expected to exceed the implied move priced into the chain.

ISRG thesis for this straddle

The market-implied 1-standard-deviation range for ISRG extends from approximately $351.83 on the downside to $448.17 on the upside. A ISRG 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 ISRG IV rank near 74.87% 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 ISRG at 42.00%. As a Healthcare name, ISRG options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ISRG-specific events.

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

Frequently asked questions

What is a straddle on ISRG?: A straddle on ISRG is the straddle strategy applied to ISRG (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 ISRG stock trading near $400.00, the strikes shown on this page are snapped to the nearest listed ISRG chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are ISRG 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 ISRG straddle priced from the end-of-day chain at a 30-day expiry (ATM IV 42.00%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$3,709.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a ISRG straddle?: The breakeven for the ISRG straddle priced on this page is roughly $360.90 and $439.10 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 ISRG market-implied 1-standard-deviation expected move is approximately 12.04%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a straddle on ISRG?: Straddles on ISRG are pure-volatility plays that profit from large moves in either direction; traders typically buy ISRG 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 ISRG implied volatility affect this straddle?: ISRG ATM IV is at 42.00% with IV rank near 74.87%, 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.