How are STNE bull call spread max profit and max loss calculated?

Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-call strike plus net debit. For the STNE bull call spread priced from the end-of-day chain at a 30-day expiry (ATM IV 50.60%), the computed maximum profit is $57.50 per contract and the computed maximum loss is -$42.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a STNE bull call spread?

The breakeven for the STNE bull call spread priced on this page is roughly $9.90 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 STNE market-implied 1-standard-deviation expected move is approximately 14.51%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current STNE implied volatility affect this bull call spread?

STNE ATM IV is at 50.60% with IV rank near 23.70%, 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.

STNE Bull Call Spread Strategy

STNE (StoneCo Ltd.), in the Technology sector, (Software - Infrastructure industry), listed on NASDAQ.

StoneCo Ltd. provides financial technology solutions to merchants and integrated partners to conduct electronic commerce across in-store, online, and mobile channels in Brazil. It distributes its solutions, principally through proprietary Stone Hubs, which offer hyper-local sales and services; and technology and solutions to digital merchants through sales and technical personnel and software vendors, as well as sells solutions to brick-and-mortar and digital merchants through sales team. As of December 31, 2021, the company served approximately 1,766,100 clients primarily small-and-medium-sized businesses; and marketplaces, e-commerce platforms, and integrated software vendors. StoneCo Ltd. was founded in 2000 and is headquartered in George Town, the Cayman Islands. StoneCo Ltd. operates as a subsidiary of HR Holdings, LLC.

STNE (StoneCo Ltd.) trades in the Technology sector, specifically Software - Infrastructure, with a market capitalization of approximately $2.59B, a trailing P/E of 5.58, a beta of 1.60 versus the broader market, a 52-week range of 9.66-19.95, average daily share volume of 5.6M, a public-listing history dating back to 2018, approximately 7K full-time employees. These structural characteristics shape how STNE stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.60 indicates STNE 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 5.58 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price. STNE pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a bull call spread on STNE?

A bull call spread buys an at-the-money call and sells an out-of-the-money call at a higher strike for defined risk and defined reward bounded by the strike width.

Current STNE snapshot

As of May 15, 2026, spot at $9.61, ATM IV 50.60%, IV rank 23.70%, expected move 14.51%. The bull call spread on STNE 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 bull call spread structure on STNE specifically: STNE IV at 50.60% is on the cheap side of its 1-year range, which favors premium-buying structures like a STNE bull call spread, with a market-implied 1-standard-deviation move of approximately 14.51% (roughly $1.39 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 STNE expiries trade a higher absolute premium for lower per-day decay. Position sizing on STNE should anchor to the underlying notional of $9.61 per share and to the trader's directional view on STNE stock.

STNE bull call spread setup

The STNE bull call spread below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With STNE near $9.61, the first option leg uses a $9.47 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed STNE 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 STNE shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$9.47	$0.93
Sell 1	Call	$10.47	$0.50

STNE bull call spread risk and reward

Net Premium / Debit: -$42.50
Max Profit (per contract): $57.50
Max Loss (per contract): -$42.50
Breakeven(s): $9.90
Risk / Reward Ratio: 1.353

Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-call strike plus net debit.

STNE bull call spread payoff curve

Modeled P&L at expiration across a range of underlying prices for the bull call spread on STNE. 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	-99.9%	-$42.50
$2.13	-77.8%	-$42.50
$4.26	-55.7%	-$42.50
$6.38	-33.6%	-$42.50
$8.50	-11.5%	-$42.50
$10.63	+10.6%	+$57.50
$12.75	+32.7%	+$57.50
$14.88	+54.8%	+$57.50
$17.00	+76.9%	+$57.50
$19.12	+99.0%	+$57.50

When traders use bull call spread on STNE

Bull call spreads on STNE reduce the cost of a bullish STNE stock position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.

STNE thesis for this bull call spread

The market-implied 1-standard-deviation range for STNE extends from approximately $8.22 on the downside to $11.00 on the upside. A STNE bull call spread caps both the risk and the reward of a bullish position; relative to an outright long call on STNE, the spread reduces the cost basis but limits the maximum profit to the strike width minus net debit. Current STNE IV rank near 23.70% 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 STNE at 50.60%. As a Technology name, STNE options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to STNE-specific events.

STNE bull call spread positions are structurally moderately bullish; 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. STNE positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move STNE alongside the broader basket even when STNE-specific fundamentals are unchanged. Long-premium structures like a bull call spread on STNE are particularly exposed to IV-crush risk through scheduled events (earnings, FDA decisions, central-bank meetings) where IV typically contracts post-event regardless of the directional outcome. Always rebuild the position from current STNE chain quotes before placing a trade.

Frequently asked questions

What is a bull call spread on STNE?: A bull call spread on STNE is the bull call spread strategy applied to STNE (stock). The strategy is structurally moderately bullish: A bull call spread buys an at-the-money call and sells an out-of-the-money call at a higher strike for defined risk and defined reward bounded by the strike width. With STNE stock trading near $9.61, the strikes shown on this page are snapped to the nearest listed STNE chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are STNE bull call spread max profit and max loss calculated?: Max profit equals strike width minus net debit times 100; max loss equals net debit times 100. Breakeven is long-call strike plus net debit. For the STNE bull call spread priced from the end-of-day chain at a 30-day expiry (ATM IV 50.60%), the computed maximum profit is $57.50 per contract and the computed maximum loss is -$42.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a STNE bull call spread?: The breakeven for the STNE bull call spread priced on this page is roughly $9.90 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 STNE market-implied 1-standard-deviation expected move is approximately 14.51%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a bull call spread on STNE?: Bull call spreads on STNE reduce the cost of a bullish STNE stock position by selling a higher-strike call; suited to moderate-move theses where price reaches but does not vastly exceed the short strike.
How does current STNE implied volatility affect this bull call spread?: STNE ATM IV is at 50.60% with IV rank near 23.70%, 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.