AXON Iron Condor Strategy
AXON (Axon Enterprise, Inc.), in the Industrials sector, (Aerospace & Defense industry), listed on NASDAQ.
Axon Enterprise, Inc. develops, manufactures, and sells conducted energy devices (CEDs) under the TASER brand in the United States and internationally. It operates through two segments, TASER, and Software and Sensors. The company also offers hardware and cloud-based software solutions that enable law enforcement to capture, securely store, manage, share, and analyze video and other digital evidence. Its products include TASER 7, TASER X26P, TASER X2, TASER Consumer devices, and related cartridges; on-officer body cameras, Axon Fleet in-car systems, and other devices; Axon Evidence digital evidence management software; Axon Signal enabled devices, as well as hardware extended warranties; and Axon docks, cartridges, and batteries. It sells its products through its direct sales force, distribution partners, online store, and third-party resellers. Axon Enterprise, Inc. has a strategic partnership with Fusus, Inc. to expand the capabilities of Axon Respond and the Fusus Real Time Crime Center in the Cloud solution to provide agencies real-time operations situational awareness, including streamlined investigative workflows.
AXON (Axon Enterprise, Inc.) trades in the Industrials sector, specifically Aerospace & Defense, with a market capitalization of approximately $30.37B, a trailing P/E of 146.44, a beta of 1.44 versus the broader market, a 52-week range of 339.01-885.92, average daily share volume of 1.3M, a public-listing history dating back to 2001, approximately 5K full-time employees. These structural characteristics shape how AXON stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.44 indicates AXON has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. The trailing P/E of 146.44 is on the rich side, which tends to correlate with higher earnings-window IV expansion as the market debates whether forward growth supports the multiple.
What is a iron condor on AXON?
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 AXON snapshot
As of May 15, 2026, spot at $393.20, ATM IV 57.28%, IV rank 44.97%, expected move 16.42%. The iron condor on AXON 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 28-day expiry.
Why this iron condor structure on AXON specifically: AXON IV at 57.28% is mid-range versus its 1-year history, so the credit collected on a AXON iron condor sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 16.42% (roughly $64.57 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated AXON expiries trade a higher absolute premium for lower per-day decay. Position sizing on AXON should anchor to the underlying notional of $393.20 per share and to the trader's directional view on AXON stock.
AXON iron condor setup
The AXON 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 AXON near $393.20, the first option leg uses a $415.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed AXON chain at a 28-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 AXON shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $415.00 | $17.70 |
| Buy 1 | Call | $435.00 | $10.70 |
| Sell 1 | Put | $375.00 | $14.95 |
| Buy 1 | Put | $355.00 | $9.70 |
AXON iron condor risk and reward
- Net Premium / Debit
- +$1,225.00
- Max Profit (per contract)
- $1,225.00
- Max Loss (per contract)
- -$775.00
- Breakeven(s)
- $362.75, $427.25
- Risk / Reward Ratio
- 1.581
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.
AXON iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on AXON. 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.
| Underlying Price | % From Spot | P&L at Expiration |
|---|---|---|
| $0.01 | -100.0% | -$775.00 |
| $86.95 | -77.9% | -$775.00 |
| $173.89 | -55.8% | -$775.00 |
| $260.82 | -33.7% | -$775.00 |
| $347.76 | -11.6% | -$775.00 |
| $434.70 | +10.6% | -$744.79 |
| $521.64 | +32.7% | -$775.00 |
| $608.57 | +54.8% | -$775.00 |
| $695.51 | +76.9% | -$775.00 |
| $782.45 | +99.0% | -$775.00 |
When traders use iron condor on AXON
Iron condors on AXON are a delta-neutral premium-collection structure that profits if AXON stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
AXON thesis for this iron condor
The market-implied 1-standard-deviation range for AXON extends from approximately $328.63 on the downside to $457.77 on the upside. A AXON iron condor is a delta-neutral premium-collection structure that pays off when AXON 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 AXON IV rank near 44.97% is mid-range against its 1-year distribution, so the IV signal is neutral; the iron condor thesis on AXON should anchor more to the directional view and the expected-move geometry. As a Industrials name, AXON options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to AXON-specific events.
AXON 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. AXON positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move AXON alongside the broader basket even when AXON-specific fundamentals are unchanged. Short-premium structures like a iron condor on AXON carry tail risk when realized volatility exceeds the implied move; review historical AXON earnings reactions and macro stress periods before sizing. Always rebuild the position from current AXON chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on AXON?
- A iron condor on AXON is the iron condor strategy applied to AXON (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 AXON stock trading near $393.20, the strikes shown on this page are snapped to the nearest listed AXON chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are AXON 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 AXON iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 57.28%), the computed maximum profit is $1,225.00 per contract and the computed maximum loss is -$775.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a AXON iron condor?
- The breakeven for the AXON iron condor priced on this page is roughly $362.75 and $427.25 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 AXON market-implied 1-standard-deviation expected move is approximately 16.42%; 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 AXON?
- Iron condors on AXON are a delta-neutral premium-collection structure that profits if AXON stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current AXON implied volatility affect this iron condor?
- AXON ATM IV is at 57.28% with IV rank near 44.97%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.