How are MAR 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 MAR strangle priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 23.60%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$642.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a MAR strangle?

The breakeven for the MAR strangle priced on this page is roughly $333.58 and $381.43 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 MAR market-implied 1-standard-deviation expected move in the same options snapshot is approximately 6.77%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current MAR implied volatility affect this strangle?

MAR ATM IV is at 23.60% with IV rank near 18.29%, 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.

MAR Strangle Strategy

MAR (Marriott International, Inc.), in the Consumer Cyclical sector, (Travel Lodging industry), listed on NASDAQ.

Marriott International, Inc. is a leading global hospitality firm responsible for managing, franchising, and licensing a wide range of accommodation options, including hotels, residential units, and timeshare resorts, on an international scale. The company segments its extensive operations into North America (covering the U.S. and Canada) and its various international divisions. Under its corporate umbrella, Marriott oversees a diverse collection of esteemed brands, such as JW Marriott, The Ritz-Carlton, W Hotels, Sheraton, Westin, and Courtyard, among many others. As of February 15, 2022, its impressive network encompassed nearly 8,000 properties—specifically 7,989 establishments—operating across 139 countries and territories under 30 distinct hotel brand names. Established in 1927, Marriott International, Inc. maintains its corporate headquarters in Bethesda, Maryland.

MAR (Marriott International, Inc.) trades in the Consumer Cyclical sector, specifically Travel Lodging, with a market capitalization of approximately $93.02B, a trailing P/E of 37.02, a beta of 1.12 versus the broader market, a 52-week range of 256.76-410.98, average daily share volume of 1.5M, a public-listing history dating back to 1998, approximately 414K full-time employees. These structural characteristics shape how MAR stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.12 places MAR roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 37.02 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. MAR pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a strangle on MAR?

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.

MAR snapshot

As of August 14, 2026, spot at $356.62, ATM IV 23.60%, IV rank 18.29%, expected move 6.77%. The strangle on MAR 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 28-day expiry.

Why this strangle structure on MAR specifically: MAR IV at 23.60% is on the cheap side of its 1-year range, which favors premium-buying structures like a MAR strangle, with a market-implied 1-standard-deviation move of approximately 6.77% (roughly $24.13 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated MAR expiries trade a higher absolute premium for lower per-day decay. Position sizing on MAR should anchor to the underlying notional of $356.62 per share and to the trader's directional view on MAR stock.

MAR strangle setup

The MAR strangle 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 MAR at $356.62 on that close, the first option leg uses a $375.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed MAR chain at a 28-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 MAR shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$375.00	$2.83
Buy 1	Put	$340.00	$3.60

MAR strangle risk and reward

Net Premium / Debit: -$642.50
Max Profit (per contract): Unbounded
Max Loss (per contract): -$642.50
Breakeven(s): $333.58, $381.43
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.

MAR strangle payoff curve

Modeled P&L at expiration across a range of underlying prices for the strangle on MAR. 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%	+$33,356.50
$78.86	-77.9%	+$25,471.55
$157.71	-55.8%	+$17,586.59
$236.56	-33.7%	+$9,701.64
$315.41	-11.6%	+$1,816.68
$394.26	+10.6%	+$1,283.27
$473.11	+32.7%	+$9,168.23
$551.96	+54.8%	+$17,053.18
$630.81	+76.9%	+$24,938.14
$709.66	+99.0%	+$32,823.09

When traders use strangle on MAR

Strangles on MAR 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 MAR chain.

MAR thesis for this strangle

The market-implied 1-standard-deviation range for MAR extends from approximately $332.49 on the downside to $380.75 on the upside. A MAR 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 MAR IV rank near 18.29% 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 MAR at 23.60%. As a Consumer Cyclical name, MAR options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to MAR-specific events.

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

Frequently asked questions

What is a strangle on MAR?: A strangle on MAR is the strangle strategy applied to MAR (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 MAR stock at $356.62 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed MAR chain strike and the premiums come straight from that session's bid/ask midpoint.
How are MAR 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 MAR strangle priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 23.60%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$642.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a MAR strangle?: The breakeven for the MAR strangle priced on this page is roughly $333.58 and $381.43 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 MAR market-implied 1-standard-deviation expected move in the same options snapshot is approximately 6.77%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a strangle on MAR?: Strangles on MAR 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 MAR chain.
How does current MAR implied volatility affect this strangle?: MAR ATM IV is at 23.60% with IV rank near 18.29%, 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.