OXM Straddle Strategy

OXM (Oxford Industries, Inc.), in the Consumer Cyclical sector, (Apparel - Manufacturers industry), listed on NYSE.

Oxford Industries, Inc. (OII) operates globally as a lifestyle apparel and accessories enterprise, engaged in the development, procurement, promotion, and sale of various branded products. Its portfolio includes several distinct labels: Tommy Bahama: Offers a diverse range of men's and women's casual wear and related merchandise. Lilly Pulitzer: Specializes in women's and girls' apparel, including dresses, sportswear, and an array of accessories like scarves, bags, jewelry, belts, footwear, and children's swimwear. Southern Tide: Focuses on men's clothing such as shirts, pants, shorts, outerwear, ties, and swimwear, complemented by footwear and accessories, with growing collections for women and youth. OII also manages additional brands: The Beaufort Bonnet Company: Provides upscale children's attire and accessories, encompassing bonnets, hats, clothing, and swimwear, sold through its e-commerce site and wholesale partners. Duck Head: Delivers men's apparel, specifically pants, shorts, and tops, available via its website and wholesale specialty retailers.

OXM (Oxford Industries, Inc.) trades in the Consumer Cyclical sector, specifically Apparel - Manufacturers, with a market capitalization of approximately $535.0M, a beta of 1.01 versus the broader market, a 52-week range of 30.57-51.61, average daily share volume of 425K, a public-listing history dating back to 1980, approximately 6K full-time employees. These structural characteristics shape how OXM stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.01 places OXM roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. OXM pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a straddle on OXM?

A long straddle buys an ATM call and an ATM put at the same strike, profiting from a large move in either direction; max loss equals the combined debit when the underlying pins to the strike at expiration.

Current OXM snapshot

As of June 30, 2026, spot at $35.10, ATM IV 70.40%, IV rank 36.11%, expected move 20.18%. The straddle on OXM 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 17-day expiry.

Why this straddle structure on OXM specifically: OXM IV at 70.40% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 20.18% (roughly $7.08 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated OXM expiries trade a higher absolute premium for lower per-day decay. Position sizing on OXM should anchor to the underlying notional of $35.10 per share and to the trader's directional view on OXM stock.

OXM straddle setup

The OXM straddle below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With OXM near $35.10, the first option leg uses a $35.10 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed OXM chain at a 17-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 OXM shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$35.10	N/A
Buy 1	Put	$35.10	N/A

OXM straddle 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

Upside max profit is unbounded; downside max profit is bounded at the strike minus the combined call plus put debit (reached at zero). Max loss equals the combined debit times 100 (reached when the underlying pins to the strike). Two breakevens at strike plus debit and strike minus debit.

OXM straddle payoff curve

Modeled P&L at expiration across a range of underlying prices for the straddle on OXM. 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 straddle on OXM

Straddles on OXM are pure-volatility plays that profit from large moves in either direction; traders typically buy OXM straddles ahead of earnings, FDA decisions, or other catalysts where the realized move is expected to exceed the implied move priced into the chain.

OXM thesis for this straddle

The market-implied 1-standard-deviation range for OXM extends from approximately $28.02 on the downside to $42.18 on the upside. A OXM long straddle is a pure-volatility play: it profits when the underlying moves far enough from the strike in either direction to overcome the combined call plus put debit, regardless of direction. Current OXM IV rank near 36.11% is mid-range against its 1-year distribution, so the IV signal is neutral; the straddle thesis on OXM should anchor more to the directional view and the expected-move geometry. As a Consumer Cyclical name, OXM options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to OXM-specific events.

OXM straddle positions are structurally neutral / high-volatility (long premium); 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. OXM positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move OXM alongside the broader basket even when OXM-specific fundamentals are unchanged. Always rebuild the position from current OXM chain quotes before placing a trade.

Frequently asked questions

What is a straddle on OXM?: A straddle on OXM is the straddle strategy applied to OXM (stock). The strategy is structurally neutral / high-volatility (long premium): A long straddle buys an ATM call and an ATM put at the same strike, profiting from a large move in either direction; max loss equals the combined debit when the underlying pins to the strike at expiration. With OXM stock trading near $35.10, the strikes shown on this page are snapped to the nearest listed OXM chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are OXM straddle max profit and max loss calculated?: Upside max profit is unbounded; downside max profit is bounded at the strike minus the combined call plus put debit (reached at zero). Max loss equals the combined debit times 100 (reached when the underlying pins to the strike). Two breakevens at strike plus debit and strike minus debit. For the OXM straddle priced from the end-of-day chain at a 30-day expiry (ATM IV 70.40%), 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 OXM straddle?: The breakeven for the OXM straddle 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 OXM market-implied 1-standard-deviation expected move is approximately 20.18%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a straddle on OXM?: Straddles on OXM are pure-volatility plays that profit from large moves in either direction; traders typically buy OXM straddles ahead of earnings, FDA decisions, or other catalysts where the realized move is expected to exceed the implied move priced into the chain.
How does current OXM implied volatility affect this straddle?: OXM ATM IV is at 70.40% with IV rank near 36.11%, 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.