SRAD Butterfly Strategy
SRAD (Sportradar Group AG), in the Technology sector, (Software - Application industry), listed on NASDAQ.
Sportradar Group AG, together with its subsidiaries, provides sports data services for the sports betting and media industries in the United Kingdom, the United States, Malta, Switzerland, and internationally. Its sports data services to the bookmaking under the Betradar brand name, and to the international media industry under the Sportradar Media Services brand name. The company offers mission-critical software, data, and content to sports leagues, betting operators, and media companies. In addition, the company provides sports entertainment, gaming solution, and sports solutions, as well as live streaming solution for online, mobile, and retail sports betting. Further, its software solutions address the entire sports betting value chain from traffic generation and advertising technology to the collection, processing, and extrapolation of data and odds, as well as to visualization solutions, risk management, and platform services. Sportradar Group AG was incorporated in 2001 and is headquartered in St.
SRAD (Sportradar Group AG) trades in the Technology sector, specifically Software - Application, with a market capitalization of approximately $3.68B, a trailing P/E of 45.38, a beta of 1.65 versus the broader market, a 52-week range of 11.66-32.22, average daily share volume of 4.0M, a public-listing history dating back to 2021, approximately 5K full-time employees. These structural characteristics shape how SRAD stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.65 indicates SRAD has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. The trailing P/E of 45.38 is on the rich side, which tends to correlate with higher earnings-window IV expansion as the market debates whether forward growth supports the multiple.
What is a butterfly on SRAD?
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 SRAD snapshot
As of May 15, 2026, spot at $12.48, ATM IV 61.00%, IV rank 9.60%, expected move 17.49%. The butterfly on SRAD 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 SRAD specifically: SRAD IV at 61.00% is on the cheap side of its 1-year range, which favors premium-buying structures like a SRAD butterfly, with a market-implied 1-standard-deviation move of approximately 17.49% (roughly $2.18 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 SRAD expiries trade a higher absolute premium for lower per-day decay. Position sizing on SRAD should anchor to the underlying notional of $12.48 per share and to the trader's directional view on SRAD stock.
SRAD butterfly setup
The SRAD 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 SRAD near $12.48, the first option leg uses a $11.86 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SRAD 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 SRAD shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $11.86 | N/A |
| Sell 2 | Call | $12.48 | N/A |
| Buy 1 | Call | $13.10 | N/A |
SRAD 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.
SRAD butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on SRAD. 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 SRAD
Butterflies on SRAD are pinning bets - traders use them when they expect SRAD 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.
SRAD thesis for this butterfly
The market-implied 1-standard-deviation range for SRAD extends from approximately $10.30 on the downside to $14.66 on the upside. A SRAD long call butterfly is a pinning play: it pays maximum at the middle strike if SRAD settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current SRAD IV rank near 9.60% 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 SRAD at 61.00%. As a Technology name, SRAD options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SRAD-specific events.
SRAD 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. SRAD positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SRAD alongside the broader basket even when SRAD-specific fundamentals are unchanged. Always rebuild the position from current SRAD chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on SRAD?
- A butterfly on SRAD is the butterfly strategy applied to SRAD (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 SRAD stock trading near $12.48, the strikes shown on this page are snapped to the nearest listed SRAD chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are SRAD 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 SRAD butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 61.00%), 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 SRAD butterfly?
- The breakeven for the SRAD 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 SRAD market-implied 1-standard-deviation expected move is approximately 17.49%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on SRAD?
- Butterflies on SRAD are pinning bets - traders use them when they expect SRAD 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 SRAD implied volatility affect this butterfly?
- SRAD ATM IV is at 61.00% with IV rank near 9.60%, 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.