PYXS Butterfly Strategy
PYXS (Pyxis Oncology, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Pyxis Oncology, Inc. operates as a preclinical biopharmaceutical company focused on developing novel therapeutic approaches to combat various forms of cancer. Its investigational immune-oncology pipeline includes PYX-106, a fully human immunoglobulin G1 (IgG1) antibody designed to target siglec-15, which is being explored for its potential efficacy against thyroid cancer, head and neck squamous cell carcinoma, non-small cell lung cancer (NSCLC), and other solid tumors. Additionally, PYX-102 is an immune-therapeutic currently under investigation for the treatment of solid tumors. The company's portfolio also features a range of investigational antibody-drug conjugate (ADC) candidates: PYX-201, a novel ADC being developed for NSCLC, breast cancer, and other solid tumors; PYX-202, another novel ADC aimed at small cell lung cancer (SCLC), soft tissue sarcoma, and other solid tumors; and PYX-203, an ADC undergoing evaluation for acute myeloid leukemia and myeloid dysplastic syndrome. Pyxis Oncology was founded in 2018 and is based in Cambridge, Massachusetts.
PYXS (Pyxis Oncology, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $175.5M, a beta of 1.43 versus the broader market, a 52-week range of 0.97-5.55, average daily share volume of 626K, a public-listing history dating back to 2021, approximately 44 full-time employees. These structural characteristics shape how PYXS stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.43 indicates PYXS 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 butterfly on PYXS?
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 PYXS snapshot
As of June 30, 2026, spot at $3.00, ATM IV 91.40%, IV rank 15.83%, expected move 26.20%. The butterfly on PYXS 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 PYXS specifically: PYXS IV at 91.40% is on the cheap side of its 1-year range, which favors premium-buying structures like a PYXS butterfly, with a market-implied 1-standard-deviation move of approximately 26.20% (roughly $0.79 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 PYXS expiries trade a higher absolute premium for lower per-day decay. Position sizing on PYXS should anchor to the underlying notional of $3.00 per share and to the trader's directional view on PYXS stock.
PYXS butterfly setup
The PYXS 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 PYXS near $3.00, the first option leg uses a $2.85 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed PYXS 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 PYXS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $2.85 | N/A |
| Sell 2 | Call | $3.00 | N/A |
| Buy 1 | Call | $3.15 | N/A |
PYXS butterfly 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
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.
PYXS butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on PYXS. 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 butterfly on PYXS
Butterflies on PYXS are pinning bets - traders use them when they expect PYXS 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.
PYXS thesis for this butterfly
The market-implied 1-standard-deviation range for PYXS extends from approximately $2.21 on the downside to $3.79 on the upside. A PYXS long call butterfly is a pinning play: it pays maximum at the middle strike if PYXS settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current PYXS IV rank near 15.83% 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 PYXS at 91.40%. As a Healthcare name, PYXS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to PYXS-specific events.
PYXS 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. PYXS positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move PYXS alongside the broader basket even when PYXS-specific fundamentals are unchanged. Always rebuild the position from current PYXS chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on PYXS?
- A butterfly on PYXS is the butterfly strategy applied to PYXS (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 PYXS stock trading near $3.00, the strikes shown on this page are snapped to the nearest listed PYXS chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are PYXS 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 PYXS butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 91.40%), 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 PYXS butterfly?
- The breakeven for the PYXS butterfly priced on this page is no defined breakeven on the modeled curve 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 PYXS market-implied 1-standard-deviation expected move is approximately 26.20%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on PYXS?
- Butterflies on PYXS are pinning bets - traders use them when they expect PYXS 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 PYXS implied volatility affect this butterfly?
- PYXS ATM IV is at 91.40% with IV rank near 15.83%, 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.