Trading a ALGT straddle lets you take a pure volatility position on Allegiant Travel without committing to a direction. Allegiant Travel's straddle involves buying (or selling) a call and a put at the same strike and expiration, profiting when the stock moves more (or less) than the combined premium implies. Use our scanner to evaluate ALGT straddle pricing in real time and find the moments when expected moves are mispriced.
A long straddle on ALGT profits from large moves in either direction and is a classic play into binary events like earnings, product announcements, or macro releases. A short straddle profits when Allegiant Travel stays range-bound and implied volatility contracts. The breakeven points are simple: strike plus total premium on the upside, strike minus total premium on the downside. Comparing the ALGT straddle price to historical realized moves helps you judge whether the market is overpaying or underpaying for volatility.
Allegiant Travel Company, a leisure travel company, provides travel services and products to residents of under-served cities in the United States. The company offers scheduled air transportation on limited-frequency, nonstop flights between under-served cities and leisure destinations. As of February 14, 2022, it operated a fleet of 110 Airbus A320 series aircraft. The company also provides air-related services and products in conjunction with air transportation, including baggage fees, advance seat assignments, travel protection products, priority boarding, a customer convenience fee, food and beverage purchases on board, and other air-related services, as well as use of its call center for purchases.
In addition, it offers third party travel products, such as hotel rooms and ground transportation, such as rental cars and hotel shuttle products; and air transportation services through fixed fee agreements and charter service on a year-round and ad-hoc basis. Further, the company operates a golf course. Allegiant Travel Company was founded in 1997 and is based in Las Vegas, Nevada.
Earnings, product cycles, macro prints — any time volatility itself is the trade, the ALGT straddle is the cleanest expression of that view. Our scanner prices every ALGT straddle against historical realized moves, flags expirations where the market is overpaying or underpaying for vol, and ranks setups by breakeven width and IV rank. Whether you're long a ALGT straddle into a catalyst or short a ALGT straddle to harvest decay, the options straddle setups that matter are all in one place.
