Butterfly Spread Calculator | Payoff Chart + Breakevens - OptionsCalculators.com
OC

OptionsCalculators.com

Professional Options Trading Calculators

Butterfly Spread Calculator (Long Call Butterfly)
Default view is ±10% around the midpoint between breakevens. Increase to expand the chart range.
Results
Lower Breakeven $0.00
Upper Breakeven $0.00
Max Profit $0.00
Max Loss $0.00
Net Debit (Cost) $0.00
Payoff Chart (Expiration)

Payoff at expiration for a long call butterfly. Green above $0, red below.

Butterfly Spread Options Strategy

A butterfly spread is a defined-risk options strategy designed to profit if the underlying finishes near a target price at expiration. This page calculates a long call butterfly: buy 1 call at K1, sell 2 calls at K2, and buy 1 call at K3, with K1 < K2 < K3 (typically evenly spaced).

How a Long Call Butterfly Works

The strategy is usually entered for a net debit. It has a limited max loss (the debit paid) and a limited max profit that peaks if the underlying closes at the middle strike K2 at expiration.

Breakevens (Typical)

For an evenly structured butterfly, breakevens are often around: Lower BE = K1 + Net Debit and Upper BE = K3 − Net Debit. Your exact breakevens depend on the premiums you enter.

Notes

This calculator shows expiration payoff. Real P&L before expiration depends on implied volatility, time decay, and bid/ask spreads.

Butterfly Spread Calculator FAQ

Is a butterfly spread bullish or bearish?
It’s typically neutral. You’re aiming for the underlying to finish near a target (often the middle strike).
What is the max loss on a long call butterfly?
Max loss is usually the net debit paid for the position (plus fees).
Where is the max profit point?
The payoff typically peaks when the underlying closes at the middle strike (K2) at expiration.
© OptionsCalculators.com • Home