TYRA Butterfly Strategy
TYRA (Tyra Biosciences, Inc.), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Tyra Biosciences, Inc. is a preclinical biopharmaceutical company focused on innovating treatments to tackle tumor resistance and enhance patient outcomes in oncology. Its flagship product candidate, TYRA-300, is a highly selective inhibitor of fibroblast growth factor receptor (FGFR)3, specifically engineered for the treatment of muscle-invasive bladder cancer. Beyond this, the company is advancing a pipeline of programs addressing other critical conditions, including FGFR2-related intrahepatic cholangiocarcinoma, FGFR3-associated achondroplasia, REarranged during transfection (RET) kinase aberrations, and various FGFR4-driven cancers. Tyra also leverages its proprietary SNAP platform, designed to accelerate structural drug design through an iterative molecular 'snapshot' approach. Founded in 2018, Tyra Biosciences maintains its headquarters in Carlsbad, California.
TYRA (Tyra Biosciences, Inc.) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $1.90B, a beta of 0.75 versus the broader market, a 52-week range of 9.03-40.65, average daily share volume of 958K, a public-listing history dating back to 2021, approximately 60 full-time employees. These structural characteristics shape how TYRA stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.75 places TYRA roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline.
What is a butterfly on TYRA?
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 TYRA snapshot
As of June 30, 2026, spot at $31.87, ATM IV 87.20%, IV rank 13.68%, expected move 25.00%. The butterfly on TYRA 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 17-day expiry.
Why this butterfly structure on TYRA specifically: TYRA IV at 87.20% is on the cheap side of its 1-year range, which favors premium-buying structures like a TYRA butterfly, with a market-implied 1-standard-deviation move of approximately 25.00% (roughly $7.97 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated TYRA expiries trade a higher absolute premium for lower per-day decay. Position sizing on TYRA should anchor to the underlying notional of $31.87 per share and to the trader's directional view on TYRA stock.
TYRA butterfly setup
The TYRA 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 TYRA near $31.87, the first option leg uses a $30.28 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed TYRA chain at a 17-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 TYRA shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $30.28 | N/A |
| Sell 2 | Call | $31.87 | N/A |
| Buy 1 | Call | $33.46 | N/A |
TYRA 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.
TYRA butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on TYRA. 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 TYRA
Butterflies on TYRA are pinning bets - traders use them when they expect TYRA 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.
TYRA thesis for this butterfly
The market-implied 1-standard-deviation range for TYRA extends from approximately $23.90 on the downside to $39.84 on the upside. A TYRA long call butterfly is a pinning play: it pays maximum at the middle strike if TYRA settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current TYRA IV rank near 13.68% 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 TYRA at 87.20%. As a Healthcare name, TYRA options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to TYRA-specific events.
TYRA 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. TYRA positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move TYRA alongside the broader basket even when TYRA-specific fundamentals are unchanged. Always rebuild the position from current TYRA chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on TYRA?
- A butterfly on TYRA is the butterfly strategy applied to TYRA (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 TYRA stock trading near $31.87, the strikes shown on this page are snapped to the nearest listed TYRA chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are TYRA 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 TYRA butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 87.20%), 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 TYRA butterfly?
- The breakeven for the TYRA 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 TYRA market-implied 1-standard-deviation expected move is approximately 25.00%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on TYRA?
- Butterflies on TYRA are pinning bets - traders use them when they expect TYRA 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 TYRA implied volatility affect this butterfly?
- TYRA ATM IV is at 87.20% with IV rank near 13.68%, 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.