SUNC Butterfly Strategy
SUNC (SunocoCorp LLC), in the Energy sector, (Oil & Gas Midstream industry), listed on NYSE.
SunocoCorp LLC operates as an energy infrastructure and fuel distribution company. The company was incorporated in 2000 and is based in Dallas, Texas.
SUNC (SunocoCorp LLC) trades in the Energy sector, specifically Oil & Gas Midstream, with a market capitalization of approximately $3.01B, a trailing P/E of 25.45, a beta of 0.33 versus the broader market, a 52-week range of 47-70.14, average daily share volume of 560K, a public-listing history dating back to 2025, approximately 1K full-time employees. These structural characteristics shape how SUNC stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.33 indicates SUNC has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. SUNC pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a butterfly on SUNC?
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 SUNC snapshot
As of May 15, 2026, spot at $71.56, ATM IV 29.20%, expected move 8.37%. The butterfly on SUNC 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 SUNC specifically: IV rank is unavailable in the current snapshot, so regime-based timing for SUNC is inferred from ATM IV at 29.20% alone, with a market-implied 1-standard-deviation move of approximately 8.37% (roughly $5.99 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 SUNC expiries trade a higher absolute premium for lower per-day decay. Position sizing on SUNC should anchor to the underlying notional of $71.56 per share and to the trader's directional view on SUNC stock.
SUNC butterfly setup
The SUNC 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 SUNC near $71.56, the first option leg uses a $67.98 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SUNC 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 SUNC shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $67.98 | N/A |
| Sell 2 | Call | $71.56 | N/A |
| Buy 1 | Call | $75.14 | N/A |
SUNC 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.
SUNC butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on SUNC. 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 SUNC
Butterflies on SUNC are pinning bets - traders use them when they expect SUNC 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.
SUNC thesis for this butterfly
The market-implied 1-standard-deviation range for SUNC extends from approximately $65.57 on the downside to $77.55 on the upside. A SUNC long call butterfly is a pinning play: it pays maximum at the middle strike if SUNC settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. As a Energy name, SUNC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SUNC-specific events.
SUNC 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. SUNC positions also carry Energy sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SUNC alongside the broader basket even when SUNC-specific fundamentals are unchanged. Always rebuild the position from current SUNC chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on SUNC?
- A butterfly on SUNC is the butterfly strategy applied to SUNC (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 SUNC stock trading near $71.56, the strikes shown on this page are snapped to the nearest listed SUNC chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are SUNC 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 SUNC butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 29.20%), 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 SUNC butterfly?
- The breakeven for the SUNC 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 SUNC market-implied 1-standard-deviation expected move is approximately 8.37%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on SUNC?
- Butterflies on SUNC are pinning bets - traders use them when they expect SUNC 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 SUNC implied volatility affect this butterfly?
- Current SUNC ATM IV is 29.20%; IV rank context is unavailable in the current snapshot.