ACTG Iron Condor Strategy
ACTG (Acacia Research Corporation), in the Industrials sector, (Specialty Business Services industry), listed on NASDAQ.
Acacia Research Corporation, together with its associated entities, primarily concentrates on acquiring intellectual property and related high-yield assets. A core aspect of its business strategy involves the commercialization and defense of patented technologies through licensing. The enterprise operates through a dual-segment structure: Intellectual Property Operations and Industrial Operations. Through its Intellectual Property arm, Acacia manages extensive patent portfolios. These encompass both U.S. and international patents, protecting innovations applied across a broad spectrum of industries. Demonstrating substantial experience, it has successfully executed approximately 1,600 licensing agreements and overseen around 200 patent portfolio licensing and enforcement programs.
ACTG (Acacia Research Corporation) trades in the Industrials sector, specifically Specialty Business Services, with a market capitalization of approximately $453.0M, a beta of 0.43 versus the broader market, a 52-week range of 3.12-5.27, average daily share volume of 242K, a public-listing history dating back to 2002, approximately 1K full-time employees. These structural characteristics shape how ACTG stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.43 indicates ACTG has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure.
What is a iron condor on ACTG?
An iron condor sells a call spread and a put spread at strikes outside spot, collecting net premium that is kept if the underlying stays inside the inner short strikes.
Current ACTG snapshot
As of June 29, 2026, spot at $4.66, ATM IV 53.40%, IV rank 12.43%, expected move 15.31%. The iron condor on ACTG 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 18-day expiry.
Why this iron condor structure on ACTG specifically: ACTG IV at 53.40% is on the cheap side of its 1-year range, which means a premium-selling ACTG iron condor collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 15.31% (roughly $0.71 on the underlying). The 18-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated ACTG expiries trade a higher absolute premium for lower per-day decay. Position sizing on ACTG should anchor to the underlying notional of $4.66 per share and to the trader's directional view on ACTG stock.
ACTG iron condor setup
The ACTG iron condor below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With ACTG near $4.66, the first option leg uses a $4.89 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ACTG chain at a 18-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 ACTG shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $4.89 | N/A |
| Buy 1 | Call | $5.13 | N/A |
| Sell 1 | Put | $4.43 | N/A |
| Buy 1 | Put | $4.19 | N/A |
ACTG iron condor 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 net credit times 100 inside the inner strikes; max loss equals wing width minus credit times 100. Two breakevens at inner strikes plus and minus the credit.
ACTG iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on ACTG. 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 iron condor on ACTG
Iron condors on ACTG are a delta-neutral premium-collection structure that profits if ACTG stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
ACTG thesis for this iron condor
The market-implied 1-standard-deviation range for ACTG extends from approximately $3.95 on the downside to $5.37 on the upside. A ACTG iron condor is a delta-neutral premium-collection structure that pays off when ACTG stays inside the inner short strikes through expiration; the wing width should reflect the trader's tolerance for the maximum loss scenario where the underlying breaches an outer strike. Current ACTG IV rank near 12.43% 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 ACTG at 53.40%. As a Industrials name, ACTG options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ACTG-specific events.
ACTG iron condor positions are structurally neutral / range-bound; 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. ACTG positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ACTG alongside the broader basket even when ACTG-specific fundamentals are unchanged. Short-premium structures like a iron condor on ACTG carry tail risk when realized volatility exceeds the implied move; review historical ACTG earnings reactions and macro stress periods before sizing. Always rebuild the position from current ACTG chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on ACTG?
- A iron condor on ACTG is the iron condor strategy applied to ACTG (stock). The strategy is structurally neutral / range-bound: An iron condor sells a call spread and a put spread at strikes outside spot, collecting net premium that is kept if the underlying stays inside the inner short strikes. With ACTG stock trading near $4.66, the strikes shown on this page are snapped to the nearest listed ACTG chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are ACTG iron condor max profit and max loss calculated?
- Max profit equals the net credit times 100 inside the inner strikes; max loss equals wing width minus credit times 100. Two breakevens at inner strikes plus and minus the credit. For the ACTG iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 53.40%), 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 ACTG iron condor?
- The breakeven for the ACTG iron condor 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 ACTG market-implied 1-standard-deviation expected move is approximately 15.31%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a iron condor on ACTG?
- Iron condors on ACTG are a delta-neutral premium-collection structure that profits if ACTG stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current ACTG implied volatility affect this iron condor?
- ACTG ATM IV is at 53.40% with IV rank near 12.43%, 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.