QNCX Butterfly Strategy
QNCX (Quince Therapeutics, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Quince Therapeutics, Inc., a biopharmaceutical company, focuses on advancing precision therapeutics for debilitating and rare diseases. The company has discovered a broad bone-targeting drug platform to precisely deliver small molecules, peptides, or large molecules directly to the site of bone fracture and disease. Its lead compound is NOV004, an anabolic peptide engineered to precisely target and concentrate at the bone fracture site The company was formerly known as Cortexyme, Inc. and changed its name to Quince Therapeutics, Inc. in August 2022. Quince Therapeutics, Inc. was incorporated in 2012 and is headquartered in South San Francisco, California.
QNCX (Quince Therapeutics, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $6.8M, a beta of 1.45 versus the broader market, a 52-week range of 0.8-45.5, average daily share volume of 6.2M, a public-listing history dating back to 2019, approximately 36 full-time employees. These structural characteristics shape how QNCX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.45 indicates QNCX 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 QNCX?
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 QNCX snapshot
As of May 15, 2026, spot at $1.19, ATM IV 258.80%, IV rank 37.01%, expected move 74.20%. The butterfly on QNCX 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 63-day expiry.
Why this butterfly structure on QNCX specifically: QNCX IV at 258.80% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 74.20% (roughly $0.88 on the underlying). The 63-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated QNCX expiries trade a higher absolute premium for lower per-day decay. Position sizing on QNCX should anchor to the underlying notional of $1.19 per share and to the trader's directional view on QNCX stock.
QNCX butterfly setup
The QNCX 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 QNCX near $1.19, the first option leg uses a $1.13 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed QNCX chain at a 63-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 QNCX shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $1.13 | N/A |
| Sell 2 | Call | $1.19 | N/A |
| Buy 1 | Call | $1.25 | N/A |
QNCX 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.
QNCX butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on QNCX. 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 QNCX
Butterflies on QNCX are pinning bets - traders use them when they expect QNCX 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.
QNCX thesis for this butterfly
The market-implied 1-standard-deviation range for QNCX extends from approximately $0.31 on the downside to $2.07 on the upside. A QNCX long call butterfly is a pinning play: it pays maximum at the middle strike if QNCX settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current QNCX IV rank near 37.01% is mid-range against its 1-year distribution, so the IV signal is neutral; the butterfly thesis on QNCX should anchor more to the directional view and the expected-move geometry. As a Healthcare name, QNCX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to QNCX-specific events.
QNCX 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. QNCX positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move QNCX alongside the broader basket even when QNCX-specific fundamentals are unchanged. Always rebuild the position from current QNCX chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on QNCX?
- A butterfly on QNCX is the butterfly strategy applied to QNCX (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 QNCX stock trading near $1.19, the strikes shown on this page are snapped to the nearest listed QNCX chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are QNCX 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 QNCX butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 258.80%), 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 QNCX butterfly?
- The breakeven for the QNCX 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 QNCX market-implied 1-standard-deviation expected move is approximately 74.20%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on QNCX?
- Butterflies on QNCX are pinning bets - traders use them when they expect QNCX 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 QNCX implied volatility affect this butterfly?
- QNCX ATM IV is at 258.80% with IV rank near 37.01%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.