TENX Straddle Strategy

TENX (Tenax Therapeutics, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.

Tenax Therapeutics, Inc., a specialty pharmaceutical company, engages in identifying, developing, and commercializing products for cardiovascular and pulmonary diseases in the United States and Canada. It develops TNX-103 and TNX-102 (levosimendan) that have completed phase II clinical trials for the treatment of patients with pulmonary hypertension associated with heart failure with preserved ejection fraction and associated pulmonary hypertension; and TNX-201 (imatinib), a tyrosine kinase inhibitor for the treatment of pulmonary arterial hypertension. The company was formerly known as Oxygen Biotherapeutics, Inc. and changed its name to Tenax Therapeutics, Inc. in September 2014. Tenax Therapeutics, Inc. was founded in 1967 and is headquartered in Morrisville, North Carolina.

TENX (Tenax Therapeutics, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $204.8M, a beta of 1.00 versus the broader market, a 52-week range of 5.34-18.38, average daily share volume of 504K, a public-listing history dating back to 1994, approximately 4 full-time employees. These structural characteristics shape how TENX stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.00 places TENX roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.

What is a straddle on TENX?

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 TENX snapshot

As of May 15, 2026, spot at $11.77, ATM IV 87.40%, expected move 25.06%. The straddle on TENX 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 straddle structure on TENX specifically: IV rank is unavailable in the current snapshot, so regime-based timing for TENX is inferred from ATM IV at 87.40% alone, with a market-implied 1-standard-deviation move of approximately 25.06% (roughly $2.95 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 TENX expiries trade a higher absolute premium for lower per-day decay. Position sizing on TENX should anchor to the underlying notional of $11.77 per share and to the trader's directional view on TENX stock.

TENX straddle setup

The TENX 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 TENX near $11.77, the first option leg uses a $11.77 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed TENX 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 TENX shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$11.77	N/A
Buy 1	Put	$11.77	N/A

TENX 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.

TENX straddle payoff curve

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

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

TENX thesis for this straddle

The market-implied 1-standard-deviation range for TENX extends from approximately $8.82 on the downside to $14.72 on the upside. A TENX 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 Healthcare name, TENX options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to TENX-specific events.

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

Frequently asked questions

What is a straddle on TENX?: A straddle on TENX is the straddle strategy applied to TENX (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 TENX stock trading near $11.77, the strikes shown on this page are snapped to the nearest listed TENX chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are TENX 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 TENX straddle priced from the end-of-day chain at a 30-day expiry (ATM IV 87.40%), 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 TENX straddle?: The breakeven for the TENX 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 TENX market-implied 1-standard-deviation expected move is approximately 25.06%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a straddle on TENX?: Straddles on TENX are pure-volatility plays that profit from large moves in either direction; traders typically buy TENX 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 TENX implied volatility affect this straddle?: Current TENX ATM IV is 87.40%; IV rank context is unavailable in the current snapshot.