SMX Straddle Strategy

SMX (SMX (Security Matters) Public Limited Company), in the Industrials sector, (Specialty Business Services industry), listed on NASDAQ.

SMX (Security Matters) Public Limited Company provides brand protection, authentication and track and trace technology for the anti-counterfeit market. Its proprietary marker system embeds a permanent or removable mark on solid, liquid, or gaseous objects or materials. The company's solutions comprise physical or chemical marker system coupled with a reader and connected to a blockchain digital platform for application in process tracing, authentication, and sustainability and circular economics industries. It serves brand owners, manufacturers, and suppliers. The company was formerly known as Empatan Public Limited Company and changed its name to SMX (Security Matters) Public Limited Company in February 2023. SMX (Security Matters) Public Limited Company is based in Dublin, Ireland.

SMX (SMX (Security Matters) Public Limited Company) trades in the Industrials sector, specifically Specialty Business Services, with a market capitalization of approximately $1.0M, a beta of -2.78 versus the broader market, a 52-week range of 1.02-2401.9607, average daily share volume of 2.6M, a public-listing history dating back to 2021, approximately 17 full-time employees. These structural characteristics shape how SMX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of -2.78 indicates SMX has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure.

What is a straddle on SMX?

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 SMX snapshot

As of May 15, 2026, spot at $9.38, ATM IV 297.90%, expected move 85.41%. The straddle on SMX 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 98-day expiry.

Why this straddle structure on SMX specifically: IV rank is unavailable in the current snapshot, so regime-based timing for SMX is inferred from ATM IV at 297.90% alone, with a market-implied 1-standard-deviation move of approximately 85.41% (roughly $8.01 on the underlying). The 98-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated SMX expiries trade a higher absolute premium for lower per-day decay. Position sizing on SMX should anchor to the underlying notional of $9.38 per share and to the trader's directional view on SMX stock.

SMX straddle setup

The SMX 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 SMX near $9.38, the first option leg uses a $9.38 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SMX chain at a 98-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 SMX shares for the stock leg in covered calls and collars).

ActionTypeStrike / BasisPremium (est)
Buy 1Call$9.38N/A
Buy 1Put$9.38N/A

SMX straddle 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

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.

SMX straddle payoff curve

Modeled P&L at expiration across a range of underlying prices for the straddle on SMX. 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 straddle on SMX

Straddles on SMX are pure-volatility plays that profit from large moves in either direction; traders typically buy SMX straddles ahead of earnings, FDA decisions, or other catalysts where the realized move is expected to exceed the implied move priced into the chain.

SMX thesis for this straddle

The market-implied 1-standard-deviation range for SMX extends from approximately $1.37 on the downside to $17.39 on the upside. A SMX 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. As a Industrials name, SMX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SMX-specific events.

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

Frequently asked questions

What is a straddle on SMX?
A straddle on SMX is the straddle strategy applied to SMX (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 SMX stock trading near $9.38, the strikes shown on this page are snapped to the nearest listed SMX chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are SMX 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 SMX straddle priced from the end-of-day chain at a 30-day expiry (ATM IV 297.90%), 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 SMX straddle?
The breakeven for the SMX straddle 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 SMX market-implied 1-standard-deviation expected move is approximately 85.41%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a straddle on SMX?
Straddles on SMX are pure-volatility plays that profit from large moves in either direction; traders typically buy SMX 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 SMX implied volatility affect this straddle?
Current SMX ATM IV is 297.90%; IV rank context is unavailable in the current snapshot.

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