GILT Strangle Strategy

GILT (Gilat Satellite Networks Ltd.), in the Technology sector, (Communication Equipment industry), listed on NASDAQ.

Gilat Satellite Networks Ltd., along with its affiliated companies, delivers advanced satellite-based broadband communication solutions both in Israel and across international markets. Its operations are structured across three primary divisions: Fixed Networks, Mobility Solutions, and Terrestrial Infrastructure Projects. The company is involved in both the engineering and production of terrestrial satellite communication hardware, as well as the provision of comprehensive, full-spectrum solutions and services. Its product offerings encompass a wide array of specialized satellite ground equipment. This includes various very small aperture terminals (VSATs), both fixed and mobile antennas, amplifiers, modems, transceivers, and other critical components like solid state power amplifiers (SSPAs) and block upconverters (BUCs). Furthermore, Gilat delivers integrated, end-to-end solutions.

GILT (Gilat Satellite Networks Ltd.) trades in the Technology sector, specifically Communication Equipment, with a market capitalization of approximately $877.0M, a trailing P/E of 29.56, a beta of 1.08 versus the broader market, a 52-week range of 8.52-20.93, average daily share volume of 793K, a public-listing history dating back to 1993, approximately 1K full-time employees. These structural characteristics shape how GILT stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.08 places GILT roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. GILT pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a strangle on GILT?

A long strangle buys an OTM call and an OTM put at offset strikes, cheaper than a straddle but requiring a larger underlying move to profit since both wings start out-of-the-money.

GILT snapshot

As of August 14, 2026, spot at $11.48, ATM IV 64.60%, IV rank 17.25%, expected move 18.52%. The strangle on GILT below is built from the end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.

Why this strangle structure on GILT specifically: GILT IV at 64.60% is on the cheap side of its 1-year range, which favors premium-buying structures like a GILT strangle, with a market-implied 1-standard-deviation move of approximately 18.52% (roughly $2.13 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated GILT expiries trade a higher absolute premium for lower per-day decay. Position sizing on GILT should anchor to the underlying notional of $11.48 per share and to the trader's directional view on GILT stock.

GILT strangle setup

The GILT strangle below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With GILT at $11.48 on that close, the first option leg uses a $12.05 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed GILT chain at a 35-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 GILT shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$12.05	N/A
Buy 1	Put	$10.91	N/A

GILT strangle 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

Upside max profit is unbounded; downside max profit is bounded at the put strike minus the combined debit (reached at zero). Max loss equals the combined debit times 100 (reached anywhere between the two OTM strikes). Two breakevens at call-strike plus debit and put-strike minus debit.

GILT strangle payoff curve

Modeled P&L at expiration across a range of underlying prices for the strangle on GILT. 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 strangle on GILT

Strangles on GILT are the cheaper cousin of the straddle - traders use them when they want a large directional move but are willing to give up the inner-strike sensitivity in exchange for a lower up-front debit on the GILT chain.

GILT thesis for this strangle

The market-implied 1-standard-deviation range for GILT extends from approximately $9.35 on the downside to $13.61 on the upside. A GILT long strangle is the OTM cousin of the straddle: lower up-front cost but the underlying has to travel further past either OTM strike before the position turns profitable at expiration. Current GILT IV rank near 17.25% 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 GILT at 64.60%. As a Technology name, GILT options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to GILT-specific events.

GILT strangle positions are structurally neutral / high-volatility (long premium, OTM); 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. GILT positions also carry Technology sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move GILT alongside the broader basket even when GILT-specific fundamentals are unchanged. Always rebuild the position from current GILT chain quotes before placing a trade.

Frequently asked questions

What is a strangle on GILT?: A strangle on GILT is the strangle strategy applied to GILT (stock). The strategy is structurally neutral / high-volatility (long premium, OTM): A long strangle buys an OTM call and an OTM put at offset strikes, cheaper than a straddle but requiring a larger underlying move to profit since both wings start out-of-the-money. With GILT stock at $11.48 on the most recent close, the strikes shown on this page are snapped to the nearest listed GILT chain strike and the premiums come straight from that session's bid/ask midpoint.
How are GILT strangle max profit and max loss calculated?: Upside max profit is unbounded; downside max profit is bounded at the put strike minus the combined debit (reached at zero). Max loss equals the combined debit times 100 (reached anywhere between the two OTM strikes). Two breakevens at call-strike plus debit and put-strike minus debit. For the GILT strangle priced from the end-of-day chain at a 30-day expiry (ATM IV 64.60%), 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 GILT strangle?: The breakeven for the GILT strangle priced on this page is no defined breakeven on the modeled curve at expiration, derived from the end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The GILT market-implied 1-standard-deviation expected move in the same options snapshot is approximately 18.52%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a strangle on GILT?: Strangles on GILT are the cheaper cousin of the straddle - traders use them when they want a large directional move but are willing to give up the inner-strike sensitivity in exchange for a lower up-front debit on the GILT chain.
How does current GILT implied volatility affect this strangle?: GILT ATM IV is at 64.60% with IV rank near 17.25%, 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.