NNN Iron Condor Strategy
NNN (NNN REIT, Inc.), in the Real Estate sector, (REIT - Retail industry), listed on NYSE.
National Retail Properties invests primarily in high-quality retail properties subject generally to long-term, net leases. As of September 30, 2020, the company owned 3,114 properties in 48 states with a gross leasable area of approximately 32.4 million square feet and with a weighted average remaining lease term of 10.7 years.
NNN (NNN REIT, Inc.) trades in the Real Estate sector, specifically REIT - Retail, with a market capitalization of approximately $8.36B, a trailing P/E of 21.46, a beta of 0.80 versus the broader market, a 52-week range of 38.9-46.03, average daily share volume of 1.6M, a public-listing history dating back to 1984, approximately 83 full-time employees. These structural characteristics shape how NNN stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.80 places NNN roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. NNN pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a iron condor on NNN?
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 NNN snapshot
As of May 15, 2026, spot at $43.80, ATM IV 16.10%, IV rank 3.56%, expected move 4.62%. The iron condor on NNN 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 NNN specifically: NNN IV at 16.10% is on the cheap side of its 1-year range, which means a premium-selling NNN iron condor collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 4.62% (roughly $2.02 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 NNN expiries trade a higher absolute premium for lower per-day decay. Position sizing on NNN should anchor to the underlying notional of $43.80 per share and to the trader's directional view on NNN stock.
NNN iron condor setup
The NNN 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 NNN near $43.80, the first option leg uses a $45.99 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed NNN 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 NNN shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $45.99 | N/A |
| Buy 1 | Call | $48.18 | N/A |
| Sell 1 | Put | $41.61 | N/A |
| Buy 1 | Put | $39.42 | N/A |
NNN 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.
NNN iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on NNN. 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 NNN
Iron condors on NNN are a delta-neutral premium-collection structure that profits if NNN stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
NNN thesis for this iron condor
The market-implied 1-standard-deviation range for NNN extends from approximately $41.78 on the downside to $45.82 on the upside. A NNN iron condor is a delta-neutral premium-collection structure that pays off when NNN 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 NNN IV rank near 3.56% 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 NNN at 16.10%. As a Real Estate name, NNN options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to NNN-specific events.
NNN 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. NNN positions also carry Real Estate sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move NNN alongside the broader basket even when NNN-specific fundamentals are unchanged. Short-premium structures like a iron condor on NNN carry tail risk when realized volatility exceeds the implied move; review historical NNN earnings reactions and macro stress periods before sizing. Always rebuild the position from current NNN chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on NNN?
- A iron condor on NNN is the iron condor strategy applied to NNN (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 NNN stock trading near $43.80, the strikes shown on this page are snapped to the nearest listed NNN chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are NNN 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 NNN iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 16.10%), 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 NNN iron condor?
- The breakeven for the NNN 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 NNN market-implied 1-standard-deviation expected move is approximately 4.62%; 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 NNN?
- Iron condors on NNN are a delta-neutral premium-collection structure that profits if NNN stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current NNN implied volatility affect this iron condor?
- NNN ATM IV is at 16.10% with IV rank near 3.56%, 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.