ONT Straddle Strategy

ONT (Onterris, Inc.), in the Industrials sector, (Waste Management industry), listed on NYSE.

Montrose Environmental Group, Inc. functions as a specialized provider of environmental services, with a core focus on air quality assessment and comprehensive laboratory analysis. The firm organizes its activities across three primary divisions: Assessment, Permitting and Response; Measurement and Analysis; and Remediation and Reuse. Within the Assessment, Permitting and Response division, the company extends expert scientific advisory and consulting services. These services are crucial for supporting environmental evaluations, managing and recovering from environmental emergencies, offering toxicological insights, and securing necessary environmental permits and conducting audits for various undertakings, including ongoing operations, facility enhancements, new ventures, site closures, and development initiatives. The Measurement and Analysis segment is dedicated to scrutinizing samples of air, water, and soil. Its objective is to pinpoint pollutant concentrations and evaluate the harmful effects these contaminants may have on plant life, animal populations, and human well-being.

ONT (Onterris, Inc.) trades in the Industrials sector, specifically Waste Management, with a market capitalization of approximately $592.7M, a beta of 1.68 versus the broader market, a 52-week range of 12.68-31.22, average daily share volume of 642K, a public-listing history dating back to 2020, approximately 4K full-time employees. These structural characteristics shape how ONT stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.68 indicates ONT has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.

What is a straddle on ONT?

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.

ONT snapshot

As of August 14, 2026, spot at $17.66, ATM IV 79.70%, expected move 22.85%. The straddle on ONT below is built from the 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 straddle structure on ONT specifically: IV rank is unavailable in the current snapshot, so regime-based timing for ONT is inferred from ATM IV at 79.70% alone, with a market-implied 1-standard-deviation move of approximately 22.85% (roughly $4.04 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 ONT expiries trade a higher absolute premium for lower per-day decay. Position sizing on ONT should anchor to the underlying notional of $17.66 per share and to the trader's directional view on ONT stock.

ONT straddle setup

The ONT 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 ONT at $17.66 on that close, the first option leg uses a $17.66 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ONT 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 ONT shares for the stock leg in covered calls and collars).

ActionTypeStrike / BasisPremium (est)
Buy 1Call$17.66N/A
Buy 1Put$17.66N/A

ONT straddle risk and reward

Net Premium / Debit
N/A
Max Profit (per contract)
Unbounded
Max Loss (per contract)
Unbounded
Breakeven(s)
None on modeled curve
Risk / Reward Ratio
N/A

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.

ONT straddle payoff curve

Modeled P&L at expiration across a range of underlying prices for the straddle on ONT. 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.

When traders use straddle on ONT

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

ONT thesis for this straddle

The market-implied 1-standard-deviation range for ONT extends from approximately $13.62 on the downside to $21.70 on the upside. A ONT 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. As a Industrials name, ONT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ONT-specific events.

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

Frequently asked questions

What is a straddle on ONT?
A straddle on ONT is the straddle strategy applied to ONT (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 ONT stock at $17.66 on the most recent close, the strikes shown on this page are snapped to the nearest listed ONT chain strike and the premiums come straight from that session's bid/ask midpoint.
How are ONT 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 ONT straddle priced from the end-of-day chain at a 30-day expiry (ATM IV 79.70%), the computed maximum profit is unbounded per contract and the computed maximum loss is unbounded per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a ONT straddle?
The breakeven for the ONT straddle priced on this page is no defined breakeven on the modeled curve at expiration, derived from the 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 ONT market-implied 1-standard-deviation expected move in the same options snapshot is approximately 22.85%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a straddle on ONT?
Straddles on ONT are pure-volatility plays that profit from large moves in either direction; traders typically buy ONT 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 ONT implied volatility affect this straddle?
Current ONT ATM IV is 79.70%; IV rank context is unavailable in the current snapshot.

Related ONT analysis