SITE Butterfly Strategy
SITE (SiteOne Landscape Supply, Inc.), in the Industrials sector, (Industrial - Distribution industry), listed on NYSE.
SiteOne Landscape Supply, Inc. engages in the wholesale distribution of landscape supplies in the United States and Canada. The company provides a selection of approximately 135,000 stock keeping units, including irrigation supplies, which comprise controllers, valves, sprinkler heads, and irrigation pipes; fertilizer, grass seed, and ice melt products; control products, such as herbicides, fungicides, rodenticides, and other pesticides; landscape accessories that include mulches, soil amendments, drainage pipes, tools, and sods; nursery goods, which consist of deciduous and evergreen shrubs, ornamental, shade, evergreen trees, field grown and container-grown nursery stock, roses, perennials, annuals, bulbs, and plant species; hardscapes, such as pavers, natural stones, blocks, and other durable materials; and outdoor lighting products that include lighting fixtures, LED lamps, wires, transformers, and accessories. It also offers consultative services consisting of assistance with irrigation network design, commercial project planning, generation of sales leads, business operations, product support services, and a series of technical and business management seminars; and distributes branded products of third parties. The company offers its products under the LESCO, SiteOne Green Tech, and Pro-Trade brand names. It markets its products primarily to residential and commercial landscape professionals who specialize in the design, installation, and maintenance of lawns, gardens, golf courses, and other outdoor spaces through branch network and direct distribution. As of January 2, 2022, the company had approximately 590 branches in 45 U.S.
SITE (SiteOne Landscape Supply, Inc.) trades in the Industrials sector, specifically Industrial - Distribution, with a market capitalization of approximately $5.23B, a trailing P/E of 34.52, a beta of 1.42 versus the broader market, a 52-week range of 112.23-168.56, average daily share volume of 713K, a public-listing history dating back to 2016, approximately 8K full-time employees. These structural characteristics shape how SITE stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.42 indicates SITE 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 SITE?
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 SITE snapshot
As of May 15, 2026, spot at $118.12, ATM IV 41.80%, IV rank 51.72%, expected move 11.98%. The butterfly on SITE 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 butterfly structure on SITE specifically: SITE IV at 41.80% 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 11.98% (roughly $14.16 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 SITE expiries trade a higher absolute premium for lower per-day decay. Position sizing on SITE should anchor to the underlying notional of $118.12 per share and to the trader's directional view on SITE stock.
SITE butterfly setup
The SITE 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 SITE near $118.12, the first option leg uses a $110.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SITE 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 SITE shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $110.00 | $11.25 |
| Sell 2 | Call | $120.00 | $5.90 |
| Buy 1 | Call | $125.00 | $4.13 |
SITE butterfly risk and reward
- Net Premium / Debit
- -$357.50
- Max Profit (per contract)
- $633.06
- Max Loss (per contract)
- -$357.50
- Breakeven(s)
- $113.58
- Risk / Reward Ratio
- 1.771
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.
SITE butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on SITE. 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% | -$357.50 |
| $26.13 | -77.9% | -$357.50 |
| $52.24 | -55.8% | -$357.50 |
| $78.36 | -33.7% | -$357.50 |
| $104.47 | -11.6% | -$357.50 |
| $130.59 | +10.6% | +$142.50 |
| $156.71 | +32.7% | +$142.50 |
| $182.82 | +54.8% | +$142.50 |
| $208.94 | +76.9% | +$142.50 |
| $235.05 | +99.0% | +$142.50 |
When traders use butterfly on SITE
Butterflies on SITE are pinning bets - traders use them when they expect SITE 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.
SITE thesis for this butterfly
The market-implied 1-standard-deviation range for SITE extends from approximately $103.96 on the downside to $132.28 on the upside. A SITE long call butterfly is a pinning play: it pays maximum at the middle strike if SITE settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current SITE IV rank near 51.72% is mid-range against its 1-year distribution, so the IV signal is neutral; the butterfly thesis on SITE should anchor more to the directional view and the expected-move geometry. As a Industrials name, SITE options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SITE-specific events.
SITE 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. SITE positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SITE alongside the broader basket even when SITE-specific fundamentals are unchanged. Always rebuild the position from current SITE chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on SITE?
- A butterfly on SITE is the butterfly strategy applied to SITE (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 SITE stock trading near $118.12, the strikes shown on this page are snapped to the nearest listed SITE chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are SITE 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 SITE butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 41.80%), the computed maximum profit is $633.06 per contract and the computed maximum loss is -$357.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a SITE butterfly?
- The breakeven for the SITE butterfly priced on this page is roughly $113.58 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 SITE market-implied 1-standard-deviation expected move is approximately 11.98%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on SITE?
- Butterflies on SITE are pinning bets - traders use them when they expect SITE 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 SITE implied volatility affect this butterfly?
- SITE ATM IV is at 41.80% with IV rank near 51.72%, 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.