FLS Iron Condor Strategy
FLS (Flowserve Corporation), in the Industrials sector, (Industrial - Machinery industry), listed on NYSE.
Flowserve Corporation is a global enterprise that specializes in the conception, creation, distribution, and upkeep of industrial equipment crucial for managing fluid movement. The company extends its reach across the United States, Europe, the Middle East, Africa, Asia, and other international markets. Its operations are structured into two principal divisions: the Flowserve Pump Division (FPD) and the Flow Control Division (FCD). The FPD segment provides a diverse range of pumping solutions, encompassing both custom-engineered and pre-configured pumps and systems, mechanical seals, auxiliary components, and essential replacement parts and upgrades. This division also delivers comprehensive post-sales support, including installation and initial setup, provision of seal system spare parts, repairs, advanced diagnostic services, performance re-rating and enhancement solutions, retrofit initiatives, precision machining, and asset management programs. A notable product from FPD is its gas-lubricated mechanical seal, specifically designed for high-speed compressors used in gas pipeline networks.
FLS (Flowserve Corporation) trades in the Industrials sector, specifically Industrial - Machinery, with a market capitalization of approximately $9.27B, a trailing P/E of 26.13, a beta of 1.25 versus the broader market, a 52-week range of 48.71-92.41, average daily share volume of 2.4M, a public-listing history dating back to 1980, approximately 16K full-time employees. These structural characteristics shape how FLS stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.25 places FLS roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. FLS pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a iron condor on FLS?
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 FLS snapshot
As of June 30, 2026, spot at $74.32, ATM IV 40.70%, IV rank 43.38%, expected move 11.67%. The iron condor on FLS 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 17-day expiry.
Why this iron condor structure on FLS specifically: FLS IV at 40.70% is mid-range versus its 1-year history, so the credit collected on a FLS iron condor sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 11.67% (roughly $8.67 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated FLS expiries trade a higher absolute premium for lower per-day decay. Position sizing on FLS should anchor to the underlying notional of $74.32 per share and to the trader's directional view on FLS stock.
FLS iron condor setup
The FLS 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 FLS near $74.32, 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 FLS chain at a 17-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 FLS shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $80.00 | $0.80 |
| Buy 1 | Call | $80.00 | $0.80 |
| Sell 1 | Put | $70.00 | $1.13 |
| Buy 1 | Put | $65.00 | $0.48 |
FLS iron condor risk and reward
- Net Premium / Debit
- +$65.00
- Max Profit (per contract)
- $65.00
- Max Loss (per contract)
- -$435.00
- Breakeven(s)
- $69.35
- Risk / Reward Ratio
- 0.149
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.
FLS iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on FLS. 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% | -$435.00 |
| $16.44 | -77.9% | -$435.00 |
| $32.87 | -55.8% | -$435.00 |
| $49.30 | -33.7% | -$435.00 |
| $65.74 | -11.6% | -$361.42 |
| $82.17 | +10.6% | +$65.00 |
| $98.60 | +32.7% | +$65.00 |
| $115.03 | +54.8% | +$65.00 |
| $131.46 | +76.9% | +$65.00 |
| $147.89 | +99.0% | +$65.00 |
When traders use iron condor on FLS
Iron condors on FLS are a delta-neutral premium-collection structure that profits if FLS stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
FLS thesis for this iron condor
The market-implied 1-standard-deviation range for FLS extends from approximately $65.65 on the downside to $82.99 on the upside. A FLS iron condor is a delta-neutral premium-collection structure that pays off when FLS 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 FLS IV rank near 43.38% is mid-range against its 1-year distribution, so the IV signal is neutral; the iron condor thesis on FLS should anchor more to the directional view and the expected-move geometry. As a Industrials name, FLS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to FLS-specific events.
FLS 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. FLS positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move FLS alongside the broader basket even when FLS-specific fundamentals are unchanged. Short-premium structures like a iron condor on FLS carry tail risk when realized volatility exceeds the implied move; review historical FLS earnings reactions and macro stress periods before sizing. Always rebuild the position from current FLS chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on FLS?
- A iron condor on FLS is the iron condor strategy applied to FLS (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 FLS stock trading near $74.32, the strikes shown on this page are snapped to the nearest listed FLS chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are FLS 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 FLS iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 40.70%), the computed maximum profit is $65.00 per contract and the computed maximum loss is -$435.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a FLS iron condor?
- The breakeven for the FLS iron condor priced on this page is roughly $69.35 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 FLS market-implied 1-standard-deviation expected move is approximately 11.67%; 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 FLS?
- Iron condors on FLS are a delta-neutral premium-collection structure that profits if FLS stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current FLS implied volatility affect this iron condor?
- FLS ATM IV is at 40.70% with IV rank near 43.38%, 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.