Calculator Inputs
Use the responsive grid below. Large screens show three columns, medium screens show two, and mobile screens show one.
Payoff Graph
The chart plots profit or loss across possible expiry prices.
Computed Payoff Table
This table updates after calculation and also powers the CSV and PDF exports.
| Underlying Price | Call Intrinsic / Share | Put Intrinsic / Share | Gross Payoff Total | Net Profit or Loss |
|---|---|---|---|---|
| Submit the form to generate the payoff table. | ||||
Example Data Table
Sample long straddle example using strike 100, call premium 6, put premium 5, one contract, and 100 shares per contract.
| Underlying at Expiry | Total Intrinsic Value | Total Premium Cost | Net Profit or Loss |
|---|---|---|---|
| $70.00 | $3,000.00 | $1,100.00 | $1,900.00 |
| $90.00 | $1,000.00 | $1,100.00 | -$100.00 |
| $100.00 | $0.00 | $1,100.00 | -$1,100.00 |
| $111.00 | $1,100.00 | $1,100.00 | $0.00 |
| $130.00 | $3,000.00 | $1,100.00 | $1,900.00 |
Formula Used
Long Straddle
Net Profit = ((max(S − K, 0) + max(K − S, 0) − C − P) × Q × N) − Fees
Here, S is expiry price, K is strike price, C is call premium, P is put premium, Q is shares per contract, and N is contracts.
Short Straddle
Net Profit = ((C + P − max(S − K, 0) − max(K − S, 0)) × Q × N) − Fees
A short straddle collects premium first, then loses value when the market moves too far above or below the strike.
Breakeven Prices
Lower Breakeven = K − (C + P + Fee per Share)
Upper Breakeven = K + (C + P + Fee per Share)
Fee per Share = (2 × commission per contract per leg) ÷ shares per contract.
How to Use This Calculator
- Choose whether you want a long straddle or short straddle.
- Enter the strike price and your expected underlying price at expiry.
- Provide call premium, put premium, contract count, and shares per contract.
- Add commission per leg if you want the breakevens to reflect trading costs.
- Set a price range and step size to build the payoff chart and table.
- Press Calculate Payoff to view results above the form.
- Use the export buttons to save the generated table as CSV or PDF.
FAQs
1. What is a straddle payoff?
A straddle payoff shows how profit or loss changes as the underlying asset finishes at different expiry prices. It combines a call and a put with the same strike and expiry.
2. When is a long straddle useful?
A long straddle is useful when you expect a large move but are unsure about direction. Profit grows as price moves far above or below the strike after covering premiums and fees.
3. When is a short straddle useful?
A short straddle is used when you expect low volatility and want to collect premium. It performs best when expiry finishes near the strike, but risk can become very large.
4. Why are there two breakeven prices?
Two breakeven points exist because a straddle profits from large moves in either direction. One sits below the strike and the other above it, both adjusted for total premium and fees.
5. What happens at the strike price?
At the strike, both options expire with no intrinsic value. A long straddle usually reaches its maximum loss there, while a short straddle usually reaches its maximum profit there.
6. Do commissions affect breakevens?
Yes. Commissions increase cost for a long straddle and reduce collected premium for a short straddle. This shifts true breakeven points and slightly changes the entire payoff curve.
7. Why include shares per contract?
Most listed equity options control 100 shares, but other contracts can differ. This field lets the calculator scale payoff, premium, and fees correctly for your market setup.
8. Can I use this for educational analysis?
Yes. The tool is well suited for learning breakevens, payoff shape, premium sensitivity, and position scaling. It helps compare scenarios before building more advanced options strategies.