SBLK Iron Condor Strategy
SBLK (Star Bulk Carriers Corp.), in the Industrials sector, (Marine Shipping industry), listed on NASDAQ.
Star Bulk Carriers Corp., a shipping company, engages in the ocean transportation of dry bulk cargoes worldwide. The company's vessels transport a range of major bulks, including iron ores, coal, and grains, as well as minor bulks, such as bauxite, fertilizers, and steel products. As of December 31, 2021, it had a fleet of 128 vessels with an aggregate capacity of approximately 14.1 million deadweight tons, including 17 Newcastlemax, 24 Capesize, 7 Post Panamax, 41 Kamsarmax, 2 Panamax, 20 Ultramax, and 17 Supramax vessels. The company also provides vessel management services. Star Bulk Carriers Corp. was incorporated in 2006 and is based in Marousi, Greece.
SBLK (Star Bulk Carriers Corp.) trades in the Industrials sector, specifically Marine Shipping, with a market capitalization of approximately $3.04B, a trailing P/E of 35.95, a beta of 0.72 versus the broader market, a 52-week range of 15.78-27.69, average daily share volume of 1.5M, a public-listing history dating back to 2007, approximately 301 full-time employees. These structural characteristics shape how SBLK stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.72 places SBLK roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 35.95 is on the rich side, which tends to correlate with higher earnings-window IV expansion as the market debates whether forward growth supports the multiple. SBLK pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a iron condor on SBLK?
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 SBLK snapshot
As of May 15, 2026, spot at $26.49, ATM IV 34.60%, IV rank 52.67%, expected move 9.92%. The iron condor on SBLK 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 98-day expiry.
Why this iron condor structure on SBLK specifically: SBLK IV at 34.60% is mid-range versus its 1-year history, so the credit collected on a SBLK iron condor sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 9.92% (roughly $2.63 on the underlying). The 98-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated SBLK expiries trade a higher absolute premium for lower per-day decay. Position sizing on SBLK should anchor to the underlying notional of $26.49 per share and to the trader's directional view on SBLK stock.
SBLK iron condor setup
The SBLK 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 SBLK near $26.49, the first option leg uses a $28.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SBLK chain at a 98-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 SBLK shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $28.00 | $1.25 |
| Buy 1 | Call | $29.00 | $0.85 |
| Sell 1 | Put | $25.00 | $1.25 |
| Buy 1 | Put | $24.00 | $1.00 |
SBLK iron condor risk and reward
- Net Premium / Debit
- +$65.00
- Max Profit (per contract)
- $65.00
- Max Loss (per contract)
- -$35.00
- Breakeven(s)
- $24.35, $28.65
- Risk / Reward Ratio
- 1.857
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.
SBLK iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on SBLK. 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% | -$35.00 |
| $5.87 | -77.9% | -$35.00 |
| $11.72 | -55.7% | -$35.00 |
| $17.58 | -33.6% | -$35.00 |
| $23.43 | -11.5% | -$35.00 |
| $29.29 | +10.6% | -$35.00 |
| $35.15 | +32.7% | -$35.00 |
| $41.00 | +54.8% | -$35.00 |
| $46.86 | +76.9% | -$35.00 |
| $52.71 | +99.0% | -$35.00 |
When traders use iron condor on SBLK
Iron condors on SBLK are a delta-neutral premium-collection structure that profits if SBLK stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
SBLK thesis for this iron condor
The market-implied 1-standard-deviation range for SBLK extends from approximately $23.86 on the downside to $29.12 on the upside. A SBLK iron condor is a delta-neutral premium-collection structure that pays off when SBLK 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 SBLK IV rank near 52.67% is mid-range against its 1-year distribution, so the IV signal is neutral; the iron condor thesis on SBLK should anchor more to the directional view and the expected-move geometry. As a Industrials name, SBLK options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SBLK-specific events.
SBLK 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. SBLK positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SBLK alongside the broader basket even when SBLK-specific fundamentals are unchanged. Short-premium structures like a iron condor on SBLK carry tail risk when realized volatility exceeds the implied move; review historical SBLK earnings reactions and macro stress periods before sizing. Always rebuild the position from current SBLK chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on SBLK?
- A iron condor on SBLK is the iron condor strategy applied to SBLK (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 SBLK stock trading near $26.49, the strikes shown on this page are snapped to the nearest listed SBLK chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are SBLK 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 SBLK iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 34.60%), the computed maximum profit is $65.00 per contract and the computed maximum loss is -$35.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a SBLK iron condor?
- The breakeven for the SBLK iron condor priced on this page is roughly $24.35 and $28.65 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 SBLK market-implied 1-standard-deviation expected move is approximately 9.92%; 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 SBLK?
- Iron condors on SBLK are a delta-neutral premium-collection structure that profits if SBLK stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current SBLK implied volatility affect this iron condor?
- SBLK ATM IV is at 34.60% with IV rank near 52.67%, 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.