LUNR Iron Condor Strategy
LUNR (Intuitive Machines, Inc.), in the Industrials sector, (Aerospace & Defense industry), listed on NASDAQ.
Intuitive Machines, Inc. manufactures and supplies space products and services. It offers space products and services to support sustained robotic and human exploration to the moon, mars, and beyond. It offers its products and services through business units: Lunar Access Services, Orbital Services, Lunar Data Services, and Space Products and Infrastructure. The company was founded in 2013 and is based in Houston, Texas.
LUNR (Intuitive Machines, Inc.) trades in the Industrials sector, specifically Aerospace & Defense, with a market capitalization of approximately $5.69B, a beta of 1.47 versus the broader market, a 52-week range of 7.78-36.72, average daily share volume of 13.2M, a public-listing history dating back to 2021, approximately 435 full-time employees. These structural characteristics shape how LUNR stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.47 indicates LUNR has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.
What is a iron condor on LUNR?
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 LUNR snapshot
As of May 15, 2026, spot at $34.66, ATM IV 119.55%, IV rank 58.90%, expected move 34.27%. The iron condor on LUNR 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 28-day expiry.
Why this iron condor structure on LUNR specifically: LUNR IV at 119.55% is mid-range versus its 1-year history, so the credit collected on a LUNR iron condor sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 34.27% (roughly $11.88 on the underlying). The 28-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated LUNR expiries trade a higher absolute premium for lower per-day decay. Position sizing on LUNR should anchor to the underlying notional of $34.66 per share and to the trader's directional view on LUNR stock.
LUNR iron condor setup
The LUNR 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 LUNR near $34.66, the first option leg uses a $36.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed LUNR chain at a 28-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 LUNR shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $36.00 | $4.10 |
| Buy 1 | Call | $38.00 | $3.35 |
| Sell 1 | Put | $33.00 | $3.29 |
| Buy 1 | Put | $31.00 | $1.74 |
LUNR iron condor risk and reward
- Net Premium / Debit
- +$230.50
- Max Profit (per contract)
- $230.50
- Max Loss (per contract)
- $30.50
- Breakeven(s)
- None on modeled curve
- Risk / Reward Ratio
- 7.557
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.
LUNR iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on LUNR. 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% | +$30.50 |
| $7.67 | -77.9% | +$30.50 |
| $15.33 | -55.8% | +$30.50 |
| $23.00 | -33.6% | +$30.50 |
| $30.66 | -11.5% | +$30.50 |
| $38.32 | +10.6% | +$30.50 |
| $45.98 | +32.7% | +$30.50 |
| $53.65 | +54.8% | +$30.50 |
| $61.31 | +76.9% | +$30.50 |
| $68.97 | +99.0% | +$30.50 |
When traders use iron condor on LUNR
Iron condors on LUNR are a delta-neutral premium-collection structure that profits if LUNR stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
LUNR thesis for this iron condor
The market-implied 1-standard-deviation range for LUNR extends from approximately $22.78 on the downside to $46.54 on the upside. A LUNR iron condor is a delta-neutral premium-collection structure that pays off when LUNR 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 LUNR IV rank near 58.90% is mid-range against its 1-year distribution, so the IV signal is neutral; the iron condor thesis on LUNR should anchor more to the directional view and the expected-move geometry. As a Industrials name, LUNR options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to LUNR-specific events.
LUNR 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. LUNR positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move LUNR alongside the broader basket even when LUNR-specific fundamentals are unchanged. Short-premium structures like a iron condor on LUNR carry tail risk when realized volatility exceeds the implied move; review historical LUNR earnings reactions and macro stress periods before sizing. Always rebuild the position from current LUNR chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on LUNR?
- A iron condor on LUNR is the iron condor strategy applied to LUNR (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 LUNR stock trading near $34.66, the strikes shown on this page are snapped to the nearest listed LUNR chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are LUNR 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 LUNR iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 119.55%), the computed maximum profit is $230.50 per contract and the computed maximum loss is $30.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a LUNR iron condor?
- The breakeven for the LUNR 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 LUNR market-implied 1-standard-deviation expected move is approximately 34.27%; 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 LUNR?
- Iron condors on LUNR are a delta-neutral premium-collection structure that profits if LUNR stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current LUNR implied volatility affect this iron condor?
- LUNR ATM IV is at 119.55% with IV rank near 58.90%, 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.