TTAN Strangle Strategy
TTAN (ServiceTitan, Inc.), in the Technology sector, (Software - Application industry), listed on NASDAQ.
ServiceTitan, Inc. engages in the collection of field service activities required to install, maintain, and service the infrastructure and systems of residences and commercial buildings. The company was founded by Ara Mahdessian and Vahe Kuzoyan on June 8, 2008 and is headquartered in Glendale, CA.
TTAN (ServiceTitan, Inc.) trades in the Technology sector, specifically Software - Application, with a market capitalization of approximately $5.35B, a beta of -0.23 versus the broader market, a 52-week range of 54.17-131.33, average daily share volume of 1.2M, a public-listing history dating back to 2024, approximately 3K full-time employees. These structural characteristics shape how TTAN stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of -0.23 indicates TTAN 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 strangle on TTAN?
A long strangle buys an OTM call and an OTM put at offset strikes, cheaper than a straddle but requiring a larger underlying move to profit since both wings start out-of-the-money.
Current TTAN snapshot
As of May 15, 2026, spot at $58.70, ATM IV 73.80%, IV rank 51.34%, expected move 21.16%. The strangle on TTAN 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 strangle structure on TTAN specifically: TTAN IV at 73.80% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 21.16% (roughly $12.42 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 TTAN expiries trade a higher absolute premium for lower per-day decay. Position sizing on TTAN should anchor to the underlying notional of $58.70 per share and to the trader's directional view on TTAN stock.
TTAN strangle setup
The TTAN strangle below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With TTAN near $58.70, the first option leg uses a $60.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed TTAN 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 TTAN shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $60.00 | $6.40 |
| Buy 1 | Put | $55.00 | $4.90 |
TTAN strangle risk and reward
- Net Premium / Debit
- -$1,130.00
- Max Profit (per contract)
- Unbounded
- Max Loss (per contract)
- -$1,130.00
- Breakeven(s)
- $43.70, $71.30
- Risk / Reward Ratio
- Unbounded
Upside max profit is unbounded; downside max profit is bounded at the put strike minus the combined debit (reached at zero). Max loss equals the combined debit times 100 (reached anywhere between the two OTM strikes). Two breakevens at call-strike plus debit and put-strike minus debit.
TTAN strangle payoff curve
Modeled P&L at expiration across a range of underlying prices for the strangle on TTAN. 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 | -100.0% | +$4,369.00 |
| $12.99 | -77.9% | +$3,071.22 |
| $25.97 | -55.8% | +$1,773.44 |
| $38.94 | -33.7% | +$475.66 |
| $51.92 | -11.5% | -$822.12 |
| $64.90 | +10.6% | -$640.11 |
| $77.88 | +32.7% | +$657.67 |
| $90.85 | +54.8% | +$1,955.45 |
| $103.83 | +76.9% | +$3,253.23 |
| $116.81 | +99.0% | +$4,551.01 |
When traders use strangle on TTAN
Strangles on TTAN are the cheaper cousin of the straddle - traders use them when they want a large directional move but are willing to give up the inner-strike sensitivity in exchange for a lower up-front debit on the TTAN chain.
TTAN thesis for this strangle
The market-implied 1-standard-deviation range for TTAN extends from approximately $46.28 on the downside to $71.12 on the upside. A TTAN long strangle is the OTM cousin of the straddle: lower up-front cost but the underlying has to travel further past either OTM strike before the position turns profitable at expiration. Current TTAN IV rank near 51.34% is mid-range against its 1-year distribution, so the IV signal is neutral; the strangle thesis on TTAN should anchor more to the directional view and the expected-move geometry. As a Technology name, TTAN options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to TTAN-specific events.
TTAN strangle positions are structurally neutral / high-volatility (long premium, OTM); 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. TTAN positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move TTAN alongside the broader basket even when TTAN-specific fundamentals are unchanged. Always rebuild the position from current TTAN chain quotes before placing a trade.
Frequently asked questions
- What is a strangle on TTAN?
- A strangle on TTAN is the strangle strategy applied to TTAN (stock). The strategy is structurally neutral / high-volatility (long premium, OTM): A long strangle buys an OTM call and an OTM put at offset strikes, cheaper than a straddle but requiring a larger underlying move to profit since both wings start out-of-the-money. With TTAN stock trading near $58.70, the strikes shown on this page are snapped to the nearest listed TTAN chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are TTAN strangle max profit and max loss calculated?
- Upside max profit is unbounded; downside max profit is bounded at the put strike minus the combined debit (reached at zero). Max loss equals the combined debit times 100 (reached anywhere between the two OTM strikes). Two breakevens at call-strike plus debit and put-strike minus debit. For the TTAN strangle priced from the end-of-day chain at a 30-day expiry (ATM IV 73.80%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$1,130.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a TTAN strangle?
- The breakeven for the TTAN strangle priced on this page is roughly $43.70 and $71.30 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 TTAN market-implied 1-standard-deviation expected move is approximately 21.16%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a strangle on TTAN?
- Strangles on TTAN are the cheaper cousin of the straddle - traders use them when they want a large directional move but are willing to give up the inner-strike sensitivity in exchange for a lower up-front debit on the TTAN chain.
- How does current TTAN implied volatility affect this strangle?
- TTAN ATM IV is at 73.80% with IV rank near 51.34%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.