CYTK Iron Condor Strategy
CYTK (Cytokinetics, Incorporated), in the Healthcare sector, (Biotechnology industry), listed on NASDAQ.
Cytokinetics, Incorporated, a late-stage biopharmaceutical company, focuses on discovering, developing, and commercializing muscle activators and inhibitors as potential treatments for debilitating diseases. The company develops small molecule drug candidates primarily engineered to impact muscle function and contractility. Its drug candidates include omecamtiv mecarbil, a novel cardiac myosin activator that is in Phase III clinical trial in patients with heart failure; and reldesemtiv, a skeletal muscle troponin activator, which is in Phase III clinical trial to treat amyotrophic lateral sclerosis and spinal muscular atrophy. The company also develops CK-136, a novel cardiac troponin activator that is in Phase I clinical trial; aficamten, a novel cardiac myosin inhibitor, which is in Phase III clinical trial for the treatment of patients with symptomatic obstructive hypertrophic cardiomyopathy; and CK-3772271, a small molecule cardiac myosin inhibitor that is in Phase I clinical trial. Cytokinetics, Incorporated has a strategic alliance with Astellas Pharma Inc. The company was incorporated in 1997 and is headquartered in South San Francisco, California.
CYTK (Cytokinetics, Incorporated) trades in the Healthcare sector, specifically Biotechnology, with a market capitalization of approximately $9.61B, a beta of 0.38 versus the broader market, a 52-week range of 29.31-80.2, average daily share volume of 2.5M, a public-listing history dating back to 2004, approximately 498 full-time employees. These structural characteristics shape how CYTK stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.38 indicates CYTK 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 CYTK?
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 CYTK snapshot
As of May 15, 2026, spot at $75.91, ATM IV 49.30%, IV rank 2.71%, expected move 14.13%. The iron condor on CYTK 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 34-day expiry.
Why this iron condor structure on CYTK specifically: CYTK IV at 49.30% is on the cheap side of its 1-year range, which means a premium-selling CYTK iron condor collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 14.13% (roughly $10.73 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated CYTK expiries trade a higher absolute premium for lower per-day decay. Position sizing on CYTK should anchor to the underlying notional of $75.91 per share and to the trader's directional view on CYTK stock.
CYTK iron condor setup
The CYTK 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 CYTK near $75.91, the first option leg uses a $80.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed CYTK chain at a 34-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 CYTK shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $80.00 | $3.05 |
| Buy 1 | Call | $85.00 | $1.75 |
| Sell 1 | Put | $70.00 | $1.75 |
| Buy 1 | Put | $70.00 | $1.75 |
CYTK iron condor risk and reward
- Net Premium / Debit
- +$130.00
- Max Profit (per contract)
- $130.00
- Max Loss (per contract)
- -$370.00
- Breakeven(s)
- $81.30
- Risk / Reward Ratio
- 0.351
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.
CYTK iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on CYTK. 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% | +$130.00 |
| $16.79 | -77.9% | +$130.00 |
| $33.58 | -55.8% | +$130.00 |
| $50.36 | -33.7% | +$130.00 |
| $67.14 | -11.6% | +$130.00 |
| $83.93 | +10.6% | -$262.51 |
| $100.71 | +32.7% | -$370.00 |
| $117.49 | +54.8% | -$370.00 |
| $134.27 | +76.9% | -$370.00 |
| $151.06 | +99.0% | -$370.00 |
When traders use iron condor on CYTK
Iron condors on CYTK are a delta-neutral premium-collection structure that profits if CYTK stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
CYTK thesis for this iron condor
The market-implied 1-standard-deviation range for CYTK extends from approximately $65.18 on the downside to $86.64 on the upside. A CYTK iron condor is a delta-neutral premium-collection structure that pays off when CYTK 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 CYTK IV rank near 2.71% 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 CYTK at 49.30%. As a Healthcare name, CYTK options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to CYTK-specific events.
CYTK 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. CYTK positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move CYTK alongside the broader basket even when CYTK-specific fundamentals are unchanged. Short-premium structures like a iron condor on CYTK carry tail risk when realized volatility exceeds the implied move; review historical CYTK earnings reactions and macro stress periods before sizing. Always rebuild the position from current CYTK chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on CYTK?
- A iron condor on CYTK is the iron condor strategy applied to CYTK (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 CYTK stock trading near $75.91, the strikes shown on this page are snapped to the nearest listed CYTK chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are CYTK 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 CYTK iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 49.30%), the computed maximum profit is $130.00 per contract and the computed maximum loss is -$370.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a CYTK iron condor?
- The breakeven for the CYTK iron condor priced on this page is roughly $81.30 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 CYTK market-implied 1-standard-deviation expected move is approximately 14.13%; 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 CYTK?
- Iron condors on CYTK are a delta-neutral premium-collection structure that profits if CYTK stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current CYTK implied volatility affect this iron condor?
- CYTK ATM IV is at 49.30% with IV rank near 2.71%, 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.