MANH Strangle Strategy
MANH (Manhattan Associates, Inc.), in the Technology sector, (Software - Application industry), listed on NASDAQ.
Manhattan Associates, Inc. develops comprehensive software solutions to manage and optimize supply chains, inventory, and omni-channel operations. Their product portfolio features Manhattan SCALE, a suite of logistics execution tools covering aspects like trading partner management, yard optimization, warehouse management, and transportation execution. Additionally, they offer Manhattan Active, which provides integrated enterprise and in-store omni-channel solutions. The company also supplies specialized solutions for inventory optimization, planning, and allocation. Supporting these offerings are a range of services, including ongoing maintenance (customer support and software enhancements), professional services (solution planning, implementation, and consulting), and training and change management programs. Beyond software, Manhattan Associates also resells complementary hardware such as computer equipment, radio frequency (RF) terminal networks, RFID readers, barcode printers and scanners, and other peripherals.
MANH (Manhattan Associates, Inc.) trades in the Technology sector, specifically Software - Application, with a market capitalization of approximately $8.16B, a trailing P/E of 37.98, a beta of 0.96 versus the broader market, a 52-week range of 119.06-247.22, average daily share volume of 664K, a public-listing history dating back to 1998, approximately 5K full-time employees. These structural characteristics shape how MANH stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.96 places MANH roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 37.98 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 strangle on MANH?
A long strangle buys an OTM call and an OTM put at offset strikes, cheaper than a straddle but requiring a larger underlying move to profit since both wings start out-of-the-money.
Current MANH snapshot
As of June 30, 2026, spot at $138.87, ATM IV 54.30%, IV rank 64.25%, expected move 15.57%. The strangle on MANH 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 17-day expiry.
Why this strangle structure on MANH specifically: MANH IV at 54.30% 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 15.57% (roughly $21.62 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated MANH expiries trade a higher absolute premium for lower per-day decay. Position sizing on MANH should anchor to the underlying notional of $138.87 per share and to the trader's directional view on MANH stock.
MANH strangle setup
The MANH strangle below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With MANH near $138.87, the first option leg uses a $145.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed MANH chain at a 17-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 MANH shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $145.00 | $4.05 |
| Buy 1 | Put | $130.00 | $3.03 |
MANH strangle risk and reward
- Net Premium / Debit
- -$707.50
- Max Profit (per contract)
- Unbounded
- Max Loss (per contract)
- -$707.50
- Breakeven(s)
- $122.93, $152.08
- Risk / Reward Ratio
- Unbounded
Upside max profit is unbounded; downside max profit is bounded at the put strike minus the combined debit (reached at zero). Max loss equals the combined debit times 100 (reached anywhere between the two OTM strikes). Two breakevens at call-strike plus debit and put-strike minus debit.
MANH strangle payoff curve
Modeled P&L at expiration across a range of underlying prices for the strangle on MANH. 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% | +$12,291.50 |
| $30.71 | -77.9% | +$9,221.12 |
| $61.42 | -55.8% | +$6,150.74 |
| $92.12 | -33.7% | +$3,080.35 |
| $122.83 | -11.6% | +$9.97 |
| $153.53 | +10.6% | +$145.41 |
| $184.23 | +32.7% | +$3,215.79 |
| $214.94 | +54.8% | +$6,286.17 |
| $245.64 | +76.9% | +$9,356.56 |
| $276.34 | +99.0% | +$12,426.94 |
When traders use strangle on MANH
Strangles on MANH are the cheaper cousin of the straddle - traders use them when they want a large directional move but are willing to give up the inner-strike sensitivity in exchange for a lower up-front debit on the MANH chain.
MANH thesis for this strangle
The market-implied 1-standard-deviation range for MANH extends from approximately $117.25 on the downside to $160.49 on the upside. A MANH long strangle is the OTM cousin of the straddle: lower up-front cost but the underlying has to travel further past either OTM strike before the position turns profitable at expiration. Current MANH IV rank near 64.25% is mid-range against its 1-year distribution, so the IV signal is neutral; the strangle thesis on MANH should anchor more to the directional view and the expected-move geometry. As a Technology name, MANH options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to MANH-specific events.
MANH strangle positions are structurally neutral / high-volatility (long premium, OTM); 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. MANH positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move MANH alongside the broader basket even when MANH-specific fundamentals are unchanged. Always rebuild the position from current MANH chain quotes before placing a trade.
Frequently asked questions
- What is a strangle on MANH?
- A strangle on MANH is the strangle strategy applied to MANH (stock). The strategy is structurally neutral / high-volatility (long premium, OTM): A long strangle buys an OTM call and an OTM put at offset strikes, cheaper than a straddle but requiring a larger underlying move to profit since both wings start out-of-the-money. With MANH stock trading near $138.87, the strikes shown on this page are snapped to the nearest listed MANH chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are MANH strangle max profit and max loss calculated?
- Upside max profit is unbounded; downside max profit is bounded at the put strike minus the combined debit (reached at zero). Max loss equals the combined debit times 100 (reached anywhere between the two OTM strikes). Two breakevens at call-strike plus debit and put-strike minus debit. For the MANH strangle priced from the end-of-day chain at a 30-day expiry (ATM IV 54.30%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$707.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a MANH strangle?
- The breakeven for the MANH strangle priced on this page is roughly $122.93 and $152.08 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 MANH market-implied 1-standard-deviation expected move is approximately 15.57%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a strangle on MANH?
- Strangles on MANH are the cheaper cousin of the straddle - traders use them when they want a large directional move but are willing to give up the inner-strike sensitivity in exchange for a lower up-front debit on the MANH chain.
- How does current MANH implied volatility affect this strangle?
- MANH ATM IV is at 54.30% with IV rank near 64.25%, 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.