MD Iron Condor Strategy
MD (Pediatrix Medical Group, Inc.), in the Healthcare sector, (Medical - Care Facilities industry), listed on NYSE.
Pediatrix Medical Group, Inc., together with its subsidiaries, provides newborn, maternal-fetal, pediatric cardiology, and other pediatric subspecialty care services in the United States and Puerto Rico. It offers neonatal care services, such as clinical care to babies born prematurely or with complications within specific units at hospitals through neonatal physician subspecialists, neonatal nurse practitioners, and other pediatric clinicians. The company also provides maternal-fetal care services, including inpatient and office-based clinical care to expectant mothers and unborn babies through affiliated maternal-fetal medicine subspecialists, as well as obstetricians and other clinicians, including maternal-fetal nurse practitioners, certified nurse mid-wives, ultrasonographers, and genetic counselors. In addition, it offers pediatric cardiology care services comprising inpatient and office-based pediatric cardiology care of the fetus, infant, child, and adolescent patient with congenital heart defects and acquired heart disease, as well as adults with congenital heart defects through affiliated pediatric cardiologist subspecialists and other related clinical professionals; and specialized cardiac care to the fetus, neonatal and pediatric patients. Further, the company provides other pediatric subspecialty care services through pediatric subspecialists, such as pediatric intensivists, pediatric hospitalists, pediatric surgeons, and pediatric ophthalmologists, as well as pediatric ear, nose, and throat physicians; and support services in the areas of hospitals, primarily in the pediatric emergency rooms, labor and delivery areas, and nursery and pediatric departments. As of February 17, 2022, it operated a network of approximately 2,700 physicians.
MD (Pediatrix Medical Group, Inc.) trades in the Healthcare sector, specifically Medical - Care Facilities, with a market capitalization of approximately $1.97B, a trailing P/E of 11.43, a beta of 0.71 versus the broader market, a 52-week range of 11.84-24.99, average daily share volume of 936K, a public-listing history dating back to 1995, approximately 4K full-time employees. These structural characteristics shape how MD stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.71 places MD roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 11.43 is on the value side, where IV often compresses outside event windows because forward growth expectations are already discounted into the share price.
What is a iron condor on MD?
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 MD snapshot
As of May 15, 2026, spot at $22.57, ATM IV 67.60%, IV rank 41.02%, expected move 19.38%. The iron condor on MD 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 MD specifically: MD IV at 67.60% is mid-range versus its 1-year history, so the credit collected on a MD iron condor sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 19.38% (roughly $4.37 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 MD expiries trade a higher absolute premium for lower per-day decay. Position sizing on MD should anchor to the underlying notional of $22.57 per share and to the trader's directional view on MD stock.
MD iron condor setup
The MD 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 MD near $22.57, the first option leg uses a $23.70 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed MD 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 MD shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $23.70 | N/A |
| Buy 1 | Call | $24.83 | N/A |
| Sell 1 | Put | $21.44 | N/A |
| Buy 1 | Put | $20.31 | N/A |
MD 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.
MD iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on MD. 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 MD
Iron condors on MD are a delta-neutral premium-collection structure that profits if MD stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
MD thesis for this iron condor
The market-implied 1-standard-deviation range for MD extends from approximately $18.20 on the downside to $26.94 on the upside. A MD iron condor is a delta-neutral premium-collection structure that pays off when MD 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 MD IV rank near 41.02% is mid-range against its 1-year distribution, so the IV signal is neutral; the iron condor thesis on MD should anchor more to the directional view and the expected-move geometry. As a Healthcare name, MD options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to MD-specific events.
MD 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. MD positions also carry Healthcare sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move MD alongside the broader basket even when MD-specific fundamentals are unchanged. Short-premium structures like a iron condor on MD carry tail risk when realized volatility exceeds the implied move; review historical MD earnings reactions and macro stress periods before sizing. Always rebuild the position from current MD chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on MD?
- A iron condor on MD is the iron condor strategy applied to MD (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 MD stock trading near $22.57, the strikes shown on this page are snapped to the nearest listed MD chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are MD 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 MD iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 67.60%), 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 MD iron condor?
- The breakeven for the MD 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 MD market-implied 1-standard-deviation expected move is approximately 19.38%; 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 MD?
- Iron condors on MD are a delta-neutral premium-collection structure that profits if MD stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current MD implied volatility affect this iron condor?
- MD ATM IV is at 67.60% with IV rank near 41.02%, 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.