GTE Iron Condor Strategy
GTE (Gran Tierra Energy Inc.), in the Energy sector, (Oil & Gas Exploration & Production industry), listed on AMEX.
Gran Tierra Energy Inc., together with its subsidiaries, engages in the exploration and production of oil and gas properties in Colombia and Ecuador. As of December 31, 2021, it had total proved undeveloped reserves of 24.8 million barrels of oil equivalent in Colombia. The company was incorporated in 2003 and is headquartered in Calgary, Canada.
GTE (Gran Tierra Energy Inc.) trades in the Energy sector, specifically Oil & Gas Exploration & Production, with a market capitalization of approximately $320.0M, a beta of 0.17 versus the broader market, a 52-week range of 3.09-9.74, average daily share volume of 705K, a public-listing history dating back to 2005, approximately 431 full-time employees. These structural characteristics shape how GTE stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.17 indicates GTE 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 GTE?
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 GTE snapshot
As of May 15, 2026, spot at $9.25, ATM IV 72.00%, IV rank 29.56%, expected move 20.64%. The iron condor on GTE 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 GTE specifically: GTE IV at 72.00% is on the cheap side of its 1-year range, which means a premium-selling GTE iron condor collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 20.64% (roughly $1.91 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 GTE expiries trade a higher absolute premium for lower per-day decay. Position sizing on GTE should anchor to the underlying notional of $9.25 per share and to the trader's directional view on GTE stock.
GTE iron condor setup
The GTE 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 GTE near $9.25, the first option leg uses a $9.71 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed GTE 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 GTE shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $9.71 | N/A |
| Buy 1 | Call | $10.18 | N/A |
| Sell 1 | Put | $8.79 | N/A |
| Buy 1 | Put | $8.33 | N/A |
GTE 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.
GTE iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on GTE. 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 GTE
Iron condors on GTE are a delta-neutral premium-collection structure that profits if GTE stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
GTE thesis for this iron condor
The market-implied 1-standard-deviation range for GTE extends from approximately $7.34 on the downside to $11.16 on the upside. A GTE iron condor is a delta-neutral premium-collection structure that pays off when GTE 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 GTE IV rank near 29.56% 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 GTE at 72.00%. As a Energy name, GTE options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to GTE-specific events.
GTE 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. GTE positions also carry Energy sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move GTE alongside the broader basket even when GTE-specific fundamentals are unchanged. Short-premium structures like a iron condor on GTE carry tail risk when realized volatility exceeds the implied move; review historical GTE earnings reactions and macro stress periods before sizing. Always rebuild the position from current GTE chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on GTE?
- A iron condor on GTE is the iron condor strategy applied to GTE (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 GTE stock trading near $9.25, the strikes shown on this page are snapped to the nearest listed GTE chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are GTE 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 GTE iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 72.00%), 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 GTE iron condor?
- The breakeven for the GTE 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 GTE market-implied 1-standard-deviation expected move is approximately 20.64%; 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 GTE?
- Iron condors on GTE are a delta-neutral premium-collection structure that profits if GTE stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current GTE implied volatility affect this iron condor?
- GTE ATM IV is at 72.00% with IV rank near 29.56%, 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.