ZENA Butterfly Strategy
ZENA (ZenaTech, Inc.), in the Industrials sector, (Aerospace & Defense industry), listed on NASDAQ.
ZenaTech, Inc., an enterprise software technology company, develops cloud-based software applications in Canada. It provides cloud-based enterprise software solutions for the medical records industry; software solutions for the automated facility management and center industry; safety and compliance management software and mobile solutions; field service management software and mobile solutions; browser-based enterprise software applications for public safety; and quantum computing solutions. The company also engages in the manufacturing, sale, and distribution of drones. ZenaTech, Inc. was formerly known as ZenaDrone, Inc. and changed its name to ZenaTech, Inc. on October 5, 2020. The company was incorporated in 2017 and is based in Vancouver, Canada.
ZENA (ZenaTech, Inc.) trades in the Industrials sector, specifically Aerospace & Defense, with a market capitalization of approximately $117.5M, a beta of 7.09 versus the broader market, a 52-week range of 1.15-7.109, average daily share volume of 3.2M, a public-listing history dating back to 2024, approximately 260 full-time employees. These structural characteristics shape how ZENA stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 7.09 indicates ZENA has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.
What is a butterfly on ZENA?
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.
ZENA snapshot
As of August 14, 2026, spot at $2.15, ATM IV 112.70%, IV rank 26.20%, expected move 32.31%. The butterfly on ZENA below is built from the end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.
Why this butterfly structure on ZENA specifically: ZENA IV at 112.70% is on the cheap side of its 1-year range, which favors premium-buying structures like a ZENA butterfly, with a market-implied 1-standard-deviation move of approximately 32.31% (roughly $0.69 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated ZENA expiries trade a higher absolute premium for lower per-day decay. Position sizing on ZENA should anchor to the underlying notional of $2.15 per share and to the trader's directional view on ZENA stock.
ZENA butterfly setup
The ZENA 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 ZENA at $2.15 on that close, the first option leg uses a $2.04 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ZENA chain at a 35-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 ZENA shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $2.04 | N/A |
| Sell 2 | Call | $2.15 | N/A |
| Buy 1 | Call | $2.26 | N/A |
ZENA 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.
ZENA butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on ZENA. 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 ZENA
Butterflies on ZENA are pinning bets - traders use them when they expect ZENA 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.
ZENA thesis for this butterfly
The market-implied 1-standard-deviation range for ZENA extends from approximately $1.46 on the downside to $2.84 on the upside. A ZENA long call butterfly is a pinning play: it pays maximum at the middle strike if ZENA settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current ZENA IV rank near 26.20% 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 ZENA at 112.70%. As a Industrials name, ZENA options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ZENA-specific events.
ZENA 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. ZENA positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ZENA alongside the broader basket even when ZENA-specific fundamentals are unchanged. Always rebuild the position from current ZENA chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on ZENA?
- A butterfly on ZENA is the butterfly strategy applied to ZENA (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 ZENA stock at $2.15 on the most recent close, the strikes shown on this page are snapped to the nearest listed ZENA chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are ZENA 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 ZENA butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 112.70%), 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 ZENA butterfly?
- The breakeven for the ZENA butterfly priced on this page is no defined breakeven on the modeled curve at expiration, derived from the end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The ZENA market-implied 1-standard-deviation expected move in the same options snapshot is approximately 32.31%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on ZENA?
- Butterflies on ZENA are pinning bets - traders use them when they expect ZENA 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 ZENA implied volatility affect this butterfly?
- ZENA ATM IV is at 112.70% with IV rank near 26.20%, 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.