SERV Iron Condor Strategy
SERV (Serve Robotics Inc.), in the Industrials sector, (Industrial - Machinery industry), listed on NASDAQ.
Serve Robotics Inc. designs, develops, and operates low-emission robots that serve people in public spaces with food delivery in the United States. It builds self-driving delivery robots. The company was formerly known as Patricia Acquisition Corp. and changed its name to Serve Robotics Inc. in July 2023. Serve Robotics Inc. was founded in 2017 and is based in Redwood City, California.
SERV (Serve Robotics Inc.) trades in the Industrials sector, specifically Industrial - Machinery, with a market capitalization of approximately $532.0M, a beta of 2.31 versus the broader market, a 52-week range of 7.66-18.64, average daily share volume of 3.8M, a public-listing history dating back to 2024, approximately 120 full-time employees. These structural characteristics shape how SERV stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 2.31 indicates SERV 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 SERV?
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 SERV snapshot
As of May 15, 2026, spot at $8.21, ATM IV 90.79%, IV rank 32.66%, expected move 26.03%. The iron condor on SERV 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 SERV specifically: SERV IV at 90.79% is mid-range versus its 1-year history, so the credit collected on a SERV iron condor sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 26.03% (roughly $2.14 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 SERV expiries trade a higher absolute premium for lower per-day decay. Position sizing on SERV should anchor to the underlying notional of $8.21 per share and to the trader's directional view on SERV stock.
SERV iron condor setup
The SERV 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 SERV near $8.21, the first option leg uses a $8.50 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SERV 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 SERV shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $8.50 | $0.68 |
| Buy 1 | Call | $9.00 | $0.51 |
| Sell 1 | Put | $8.00 | $0.71 |
| Buy 1 | Put | $7.50 | $0.50 |
SERV iron condor risk and reward
- Net Premium / Debit
- +$39.00
- Max Profit (per contract)
- $39.00
- Max Loss (per contract)
- -$11.00
- Breakeven(s)
- $7.61, $8.89
- Risk / Reward Ratio
- 3.545
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.
SERV iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on SERV. 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 | -99.9% | -$11.00 |
| $1.82 | -77.8% | -$11.00 |
| $3.64 | -55.7% | -$11.00 |
| $5.45 | -33.6% | -$11.00 |
| $7.27 | -11.5% | -$11.00 |
| $9.08 | +10.6% | -$11.00 |
| $10.90 | +32.7% | -$11.00 |
| $12.71 | +54.8% | -$11.00 |
| $14.52 | +76.9% | -$11.00 |
| $16.34 | +99.0% | -$11.00 |
When traders use iron condor on SERV
Iron condors on SERV are a delta-neutral premium-collection structure that profits if SERV stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
SERV thesis for this iron condor
The market-implied 1-standard-deviation range for SERV extends from approximately $6.07 on the downside to $10.35 on the upside. A SERV iron condor is a delta-neutral premium-collection structure that pays off when SERV 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 SERV IV rank near 32.66% is mid-range against its 1-year distribution, so the IV signal is neutral; the iron condor thesis on SERV should anchor more to the directional view and the expected-move geometry. As a Industrials name, SERV options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SERV-specific events.
SERV 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. SERV positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SERV alongside the broader basket even when SERV-specific fundamentals are unchanged. Short-premium structures like a iron condor on SERV carry tail risk when realized volatility exceeds the implied move; review historical SERV earnings reactions and macro stress periods before sizing. Always rebuild the position from current SERV chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on SERV?
- A iron condor on SERV is the iron condor strategy applied to SERV (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 SERV stock trading near $8.21, the strikes shown on this page are snapped to the nearest listed SERV chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are SERV 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 SERV iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 90.79%), the computed maximum profit is $39.00 per contract and the computed maximum loss is -$11.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a SERV iron condor?
- The breakeven for the SERV iron condor priced on this page is roughly $7.61 and $8.89 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 SERV market-implied 1-standard-deviation expected move is approximately 26.03%; 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 SERV?
- Iron condors on SERV are a delta-neutral premium-collection structure that profits if SERV stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current SERV implied volatility affect this iron condor?
- SERV ATM IV is at 90.79% with IV rank near 32.66%, 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.