How are SHIP 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 SHIP butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 247.40%), the computed maximum profit is $56.50 per contract and the computed maximum loss is -$43.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a SHIP butterfly?

The breakeven for the SHIP butterfly priced on this page is roughly $13.44 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 SHIP market-implied 1-standard-deviation expected move is approximately 70.93%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current SHIP implied volatility affect this butterfly?

SHIP ATM IV is at 247.40% with IV rank near 58.32%, 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.

SHIP Butterfly Strategy

SHIP (Seanergy Maritime Holdings Corp.), in the Industrials sector, (Marine Shipping industry), listed on NASDAQ.

Seanergy Maritime Holdings Corp. is an international shipping firm dedicated to the oceanic conveyance of dry bulk materials. Established in 2008, this Greek-headquartered company oversees an extensive fleet of seventeen Capesize vessels. These ships collectively provide a significant carrying capacity, approximately 3,011,083 deadweight tons. The corporation was initially founded under the name Seanergy Merger Corp., adopting its current identity, Seanergy Maritime Holdings Corp., in July of its inaugural year. Its principal operations are based in Athens, Greece.

SHIP (Seanergy Maritime Holdings Corp.) trades in the Industrials sector, specifically Marine Shipping, with a market capitalization of approximately $299.0M, a trailing P/E of 8.00, a beta of 1.00 versus the broader market, a 52-week range of 6.11-16.86, average daily share volume of 230K, a public-listing history dating back to 2008, approximately 93 full-time employees. These structural characteristics shape how SHIP stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.00 places SHIP roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 8.00 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price. SHIP pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a butterfly on SHIP?

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 SHIP snapshot

As of June 30, 2026, spot at $13.57, ATM IV 247.40%, IV rank 58.32%, expected move 70.93%. The butterfly on SHIP 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 SHIP specifically: SHIP IV at 247.40% 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 70.93% (roughly $9.62 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 SHIP expiries trade a higher absolute premium for lower per-day decay. Position sizing on SHIP should anchor to the underlying notional of $13.57 per share and to the trader's directional view on SHIP stock.

SHIP butterfly setup

The SHIP 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 SHIP near $13.57, the first option leg uses a $13.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SHIP 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 SHIP shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$13.00	$0.88
Sell 2	Call	$14.00	$0.44
Buy 1	Call	$14.00	$0.44

SHIP butterfly risk and reward

Net Premium / Debit: -$43.50
Max Profit (per contract): $56.50
Max Loss (per contract): -$43.50
Breakeven(s): $13.44
Risk / Reward Ratio: 1.299

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.

SHIP butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on SHIP. 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	-99.9%	-$43.50
$3.01	-77.8%	-$43.50
$6.01	-55.7%	-$43.50
$9.01	-33.6%	-$43.50
$12.01	-11.5%	-$43.50
$15.01	+10.6%	+$56.50
$18.01	+32.7%	+$56.50
$21.01	+54.8%	+$56.50
$24.00	+76.9%	+$56.50
$27.00	+99.0%	+$56.50

When traders use butterfly on SHIP

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

SHIP thesis for this butterfly

The market-implied 1-standard-deviation range for SHIP extends from approximately $3.95 on the downside to $23.19 on the upside. A SHIP long call butterfly is a pinning play: it pays maximum at the middle strike if SHIP settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current SHIP IV rank near 58.32% is mid-range against its 1-year distribution, so the IV signal is neutral; the butterfly thesis on SHIP should anchor more to the directional view and the expected-move geometry. As a Industrials name, SHIP options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SHIP-specific events.

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

Frequently asked questions

What is a butterfly on SHIP?: A butterfly on SHIP is the butterfly strategy applied to SHIP (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 SHIP stock trading near $13.57, the strikes shown on this page are snapped to the nearest listed SHIP chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are SHIP 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 SHIP butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 247.40%), the computed maximum profit is $56.50 per contract and the computed maximum loss is -$43.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a SHIP butterfly?: The breakeven for the SHIP butterfly priced on this page is roughly $13.44 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 SHIP market-implied 1-standard-deviation expected move is approximately 70.93%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on SHIP?: Butterflies on SHIP are pinning bets - traders use them when they expect SHIP 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 SHIP implied volatility affect this butterfly?: SHIP ATM IV is at 247.40% with IV rank near 58.32%, 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.