How are MATX 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 MATX butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 36.60%), the computed maximum profit is $545.31 per contract and the computed maximum loss is -$415.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a MATX butterfly?

The breakeven for the MATX butterfly priced on this page is roughly $195.85 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 MATX market-implied 1-standard-deviation expected move is approximately 10.49%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current MATX implied volatility affect this butterfly?

MATX ATM IV is at 36.60% with IV rank near 28.52%, 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.

MATX Butterfly Strategy

MATX (Matson, Inc.), in the Industrials sector, (Marine Shipping industry), listed on NYSE.

Matson, Inc. specializes in providing integrated ocean transportation and logistics solutions. Its Ocean Transportation segment offers crucial ocean freight services connecting the domestic non-contiguous economies of Hawaii, Alaska, and Guam, alongside other island nations within Micronesia. Their diverse cargo includes everything from refrigerated foodstuffs, packaged consumer goods, building materials, and automobiles to livestock, seafood, general sustenance, and a wide array of retail and e-commerce merchandise. Additionally, the company operates an expedited express service facilitating trade between China and Long Beach, California, extending its reach to various South Pacific islands and Okinawa, Japan. Beyond direct shipping, this segment manages comprehensive terminal operations, including container stevedoring, refrigerated cargo handling, inland transport, and container equipment maintenance across key locations in Hawaii (Oahu, Hawaii, Maui, and Kauai) and Alaska (Anchorage, Kodiak, and Dutch Harbor). They also offer vessel management and container transshipment services.

MATX (Matson, Inc.) trades in the Industrials sector, specifically Marine Shipping, with a market capitalization of approximately $5.89B, a trailing P/E of 13.78, a beta of 1.29 versus the broader market, a 52-week range of 86.97-203.08, average daily share volume of 251K, a public-listing history dating back to 1973, approximately 4K full-time employees. These structural characteristics shape how MATX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.29 places MATX roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. MATX pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a butterfly on MATX?

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.

Current MATX snapshot

As of June 30, 2026, spot at $192.50, ATM IV 36.60%, IV rank 28.52%, expected move 10.49%. The butterfly on MATX 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 butterfly structure on MATX specifically: MATX IV at 36.60% is on the cheap side of its 1-year range, which favors premium-buying structures like a MATX butterfly, with a market-implied 1-standard-deviation move of approximately 10.49% (roughly $20.20 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 MATX expiries trade a higher absolute premium for lower per-day decay. Position sizing on MATX should anchor to the underlying notional of $192.50 per share and to the trader's directional view on MATX stock.

MATX butterfly setup

The MATX butterfly below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With MATX near $192.50, the first option leg uses a $185.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed MATX 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 MATX shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$185.00	$10.45
Sell 2	Call	$190.00	$7.20
Buy 1	Call	$200.00	$3.10

MATX butterfly risk and reward

Net Premium / Debit: +$85.00
Max Profit (per contract): $545.31
Max Loss (per contract): -$415.00
Breakeven(s): $195.85
Risk / Reward Ratio: 1.314

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.

MATX butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on MATX. 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%	+$85.00
$42.57	-77.9%	+$85.00
$85.13	-55.8%	+$85.00
$127.70	-33.7%	+$85.00
$170.26	-11.6%	+$85.00
$212.82	+10.6%	-$415.00
$255.38	+32.7%	-$415.00
$297.94	+54.8%	-$415.00
$340.50	+76.9%	-$415.00
$383.07	+99.0%	-$415.00

When traders use butterfly on MATX

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

MATX thesis for this butterfly

The market-implied 1-standard-deviation range for MATX extends from approximately $172.30 on the downside to $212.70 on the upside. A MATX long call butterfly is a pinning play: it pays maximum at the middle strike if MATX settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current MATX IV rank near 28.52% 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 MATX at 36.60%. As a Industrials name, MATX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to MATX-specific events.

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

Frequently asked questions

What is a butterfly on MATX?: A butterfly on MATX is the butterfly strategy applied to MATX (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 MATX stock trading near $192.50, the strikes shown on this page are snapped to the nearest listed MATX chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are MATX 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 MATX butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 36.60%), the computed maximum profit is $545.31 per contract and the computed maximum loss is -$415.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a MATX butterfly?: The breakeven for the MATX butterfly priced on this page is roughly $195.85 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 MATX market-implied 1-standard-deviation expected move is approximately 10.49%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on MATX?: Butterflies on MATX are pinning bets - traders use them when they expect MATX 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 MATX implied volatility affect this butterfly?: MATX ATM IV is at 36.60% with IV rank near 28.52%, 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.