GRC Iron Condor Strategy
GRC (The Gorman-Rupp Company), in the Industrials sector, (Industrial - Machinery industry), listed on NYSE.
The Gorman-Rupp Company designs, manufactures, and sells pumps and pump systems in the United States and internationally. The company's products include self-priming centrifugal, standard centrifugal, magnetic drive centrifugal, axial and mixed flow, vertical turbine line shaft, submersible, high pressure booster, rotary gear, diaphragm, bellows, and oscillating pumps. Its products are used in water, wastewater, construction, dewatering, industrial, petroleum, original equipment, agriculture, fire protection, military, and other liquid-handling applications, as well as in heating, ventilating, and air conditioning applications. The company markets its products through a network of distributors, manufacturers' representatives, third-party distributor catalogs, direct sales, and commerce. The Gorman-Rupp Company was founded in 1933 and is headquartered in Mansfield, Ohio.
GRC (The Gorman-Rupp Company) trades in the Industrials sector, specifically Industrial - Machinery, with a market capitalization of approximately $1.99B, a trailing P/E of 33.83, a beta of 1.34 versus the broader market, a 52-week range of 34.96-79.54, average daily share volume of 169K, a public-listing history dating back to 1980, approximately 1K full-time employees. These structural characteristics shape how GRC stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.34 indicates GRC has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. GRC pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a iron condor on GRC?
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 GRC snapshot
As of May 15, 2026, spot at $73.25, ATM IV 32.00%, IV rank 10.06%, expected move 9.17%. The iron condor on GRC 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 GRC specifically: GRC IV at 32.00% is on the cheap side of its 1-year range, which means a premium-selling GRC iron condor collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 9.17% (roughly $6.72 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 GRC expiries trade a higher absolute premium for lower per-day decay. Position sizing on GRC should anchor to the underlying notional of $73.25 per share and to the trader's directional view on GRC stock.
GRC iron condor setup
The GRC 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 GRC near $73.25, the first option leg uses a $76.91 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed GRC 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 GRC shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $76.91 | N/A |
| Buy 1 | Call | $80.58 | N/A |
| Sell 1 | Put | $69.59 | N/A |
| Buy 1 | Put | $65.93 | N/A |
GRC 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.
GRC iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on GRC. 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 GRC
Iron condors on GRC are a delta-neutral premium-collection structure that profits if GRC stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
GRC thesis for this iron condor
The market-implied 1-standard-deviation range for GRC extends from approximately $66.53 on the downside to $79.97 on the upside. A GRC iron condor is a delta-neutral premium-collection structure that pays off when GRC 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 GRC IV rank near 10.06% 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 GRC at 32.00%. As a Industrials name, GRC options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to GRC-specific events.
GRC 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. GRC positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move GRC alongside the broader basket even when GRC-specific fundamentals are unchanged. Short-premium structures like a iron condor on GRC carry tail risk when realized volatility exceeds the implied move; review historical GRC earnings reactions and macro stress periods before sizing. Always rebuild the position from current GRC chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on GRC?
- A iron condor on GRC is the iron condor strategy applied to GRC (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 GRC stock trading near $73.25, the strikes shown on this page are snapped to the nearest listed GRC chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are GRC 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 GRC iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 32.00%), 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 GRC iron condor?
- The breakeven for the GRC 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 GRC market-implied 1-standard-deviation expected move is approximately 9.17%; 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 GRC?
- Iron condors on GRC are a delta-neutral premium-collection structure that profits if GRC stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current GRC implied volatility affect this iron condor?
- GRC ATM IV is at 32.00% with IV rank near 10.06%, 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.