WSFS Butterfly Strategy
WSFS (WSFS Financial Corporation), in the Financial Services sector, (Banks - Regional industry), listed on NASDAQ.
WSFS Financial Corporation operates as the savings and loan holding company for the Wilmington Savings Fund Society, FSB that provides various banking services in the United States. It operates through three segments: WSFS Bank, Cash Connect, and Wealth Management. It offers various deposit products, including savings accounts, demand deposits, interest-bearing demand deposits, money market deposit accounts, and certificates of deposit, as well as accepts jumbo certificates of deposit from individuals, businesses, and municipalities. The company also provides a range of loans, which comprise fixed and adjustable rate residential loans; commercial real estate mortgage loans; commercial construction loans to developers; commercial loans for working capital, financing equipment and real estate acquisitions, business expansion, and other business purposes; and consumer credit products, such as home improvement, automobile, and other secured and unsecured personal installment loans, as well as home equity lines and unsecured lines of credit, and government-insured reverse mortgages. In addition, it offers various third-party investment and insurance products, such as single-premium annuities, whole life policies, and securities; investment advisory services to high net worth individuals and institutions; mortgage and title services; and leases small equipment and fixed assets, as well as cash management, trust, and wealth management services. Further, the company provides ATM vault cash, smart safe, and other cash logistics services; and online reporting and ATM cash management, predictive cash ordering and reconcilement services, armored carrier management, loss protection, ATM processing equipment sales, and deposit safe cash logistics services.
WSFS (WSFS Financial Corporation) trades in the Financial Services sector, specifically Banks - Regional, with a market capitalization of approximately $3.63B, a trailing P/E of 12.00, a beta of 0.77 versus the broader market, a 52-week range of 49.92-73.22, average daily share volume of 411K, a public-listing history dating back to 1986, approximately 2K full-time employees. These structural characteristics shape how WSFS stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.77 places WSFS roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 12.00 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price. WSFS pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a butterfly on WSFS?
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 WSFS snapshot
As of May 15, 2026, spot at $69.91, ATM IV 23.80%, IV rank 1.65%, expected move 6.82%. The butterfly on WSFS 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 WSFS specifically: WSFS IV at 23.80% is on the cheap side of its 1-year range, which favors premium-buying structures like a WSFS butterfly, with a market-implied 1-standard-deviation move of approximately 6.82% (roughly $4.77 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 WSFS expiries trade a higher absolute premium for lower per-day decay. Position sizing on WSFS should anchor to the underlying notional of $69.91 per share and to the trader's directional view on WSFS stock.
WSFS butterfly setup
The WSFS 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 WSFS near $69.91, the first option leg uses a $66.41 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed WSFS 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 WSFS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $66.41 | N/A |
| Sell 2 | Call | $69.91 | N/A |
| Buy 1 | Call | $73.41 | N/A |
WSFS 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.
WSFS butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on WSFS. 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 WSFS
Butterflies on WSFS are pinning bets - traders use them when they expect WSFS 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.
WSFS thesis for this butterfly
The market-implied 1-standard-deviation range for WSFS extends from approximately $65.14 on the downside to $74.68 on the upside. A WSFS long call butterfly is a pinning play: it pays maximum at the middle strike if WSFS settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current WSFS IV rank near 1.65% 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 WSFS at 23.80%. As a Financial Services name, WSFS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to WSFS-specific events.
WSFS 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. WSFS positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move WSFS alongside the broader basket even when WSFS-specific fundamentals are unchanged. Always rebuild the position from current WSFS chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on WSFS?
- A butterfly on WSFS is the butterfly strategy applied to WSFS (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 WSFS stock trading near $69.91, the strikes shown on this page are snapped to the nearest listed WSFS chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are WSFS 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 WSFS butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 23.80%), 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 WSFS butterfly?
- The breakeven for the WSFS 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 WSFS market-implied 1-standard-deviation expected move is approximately 6.82%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on WSFS?
- Butterflies on WSFS are pinning bets - traders use them when they expect WSFS 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 WSFS implied volatility affect this butterfly?
- WSFS ATM IV is at 23.80% with IV rank near 1.65%, 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.