PTGX Straddle Strategy
PTGX (Protagonist Therapeutics, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Protagonist Therapeutics, Inc., a biopharmaceutical company, discovers and develops peptide-based therapeutic drugs to address hematology and blood disorders, and inflammatory and immunomodulatory diseases. It is developing rusfertide (PTG-300), an injectable hepcidin mimetic that is in Phase II clinical trials for the treatment of patients with polycythemia vera and hereditary hemochromatosis, as well as for the treatment of other blood disorders; PN-943, an oral, alpha-4-beta-7 integrin- specific antagonist peptide that is in Phase II clinical trials for treating inflammatory bowel disease (IBD); and PN-235, an orally delivered interleukin-23 receptor specific antagonist for the treatment of IBD and non-IBD indications. The company has a license and collaboration agreement with Janssen Biotech, Inc. Protagonist Therapeutics, Inc. was incorporated in 2006 and is headquartered in Newark, California.
PTGX (Protagonist Therapeutics, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $6.68B, a beta of 1.88 versus the broader market, a 52-week range of 43.465-107.84, average daily share volume of 759K, a public-listing history dating back to 2016, approximately 124 full-time employees. These structural characteristics shape how PTGX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.88 indicates PTGX 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 PTGX?
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 PTGX snapshot
As of May 15, 2026, spot at $102.63, ATM IV 39.10%, IV rank 3.70%, expected move 11.21%. The straddle on PTGX 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 34-day expiry.
Why this straddle structure on PTGX specifically: PTGX IV at 39.10% is on the cheap side of its 1-year range, which favors premium-buying structures like a PTGX straddle, with a market-implied 1-standard-deviation move of approximately 11.21% (roughly $11.50 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated PTGX expiries trade a higher absolute premium for lower per-day decay. Position sizing on PTGX should anchor to the underlying notional of $102.63 per share and to the trader's directional view on PTGX stock.
PTGX straddle setup
The PTGX 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 PTGX near $102.63, the first option leg uses a $105.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed PTGX chain at a 34-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 PTGX shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $105.00 | $4.45 |
| Buy 1 | Put | $105.00 | $5.80 |
PTGX straddle risk and reward
- Net Premium / Debit
- -$1,025.00
- Max Profit (per contract)
- Unbounded
- Max Loss (per contract)
- -$1,003.65
- Breakeven(s)
- $94.75, $115.25
- 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.
PTGX straddle payoff curve
Modeled P&L at expiration across a range of underlying prices for the straddle on PTGX. 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% | +$9,474.00 |
| $22.70 | -77.9% | +$7,204.90 |
| $45.39 | -55.8% | +$4,935.81 |
| $68.08 | -33.7% | +$2,666.71 |
| $90.77 | -11.6% | +$397.62 |
| $113.46 | +10.6% | -$178.52 |
| $136.16 | +32.7% | +$2,090.57 |
| $158.85 | +54.8% | +$4,359.67 |
| $181.54 | +76.9% | +$6,628.76 |
| $204.23 | +99.0% | +$8,897.86 |
When traders use straddle on PTGX
Straddles on PTGX are pure-volatility plays that profit from large moves in either direction; traders typically buy PTGX straddles ahead of earnings, FDA decisions, or other catalysts where the realized move is expected to exceed the implied move priced into the chain.
PTGX thesis for this straddle
The market-implied 1-standard-deviation range for PTGX extends from approximately $91.13 on the downside to $114.13 on the upside. A PTGX 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 PTGX IV rank near 3.70% 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 PTGX at 39.10%. As a Healthcare name, PTGX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to PTGX-specific events.
PTGX 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. PTGX positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move PTGX alongside the broader basket even when PTGX-specific fundamentals are unchanged. Always rebuild the position from current PTGX chain quotes before placing a trade.
Frequently asked questions
- What is a straddle on PTGX?
- A straddle on PTGX is the straddle strategy applied to PTGX (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 PTGX stock trading near $102.63, the strikes shown on this page are snapped to the nearest listed PTGX chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are PTGX 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 PTGX straddle priced from the end-of-day chain at a 30-day expiry (ATM IV 39.10%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$1,003.65 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a PTGX straddle?
- The breakeven for the PTGX straddle priced on this page is roughly $94.75 and $115.25 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 PTGX market-implied 1-standard-deviation expected move is approximately 11.21%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a straddle on PTGX?
- Straddles on PTGX are pure-volatility plays that profit from large moves in either direction; traders typically buy PTGX 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 PTGX implied volatility affect this straddle?
- PTGX ATM IV is at 39.10% with IV rank near 3.70%, 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.