SRI Iron Condor Strategy
SRI (Stoneridge, Inc.), in the Consumer Cyclical sector, (Auto - Parts industry), listed on NYSE.
Stoneridge, Inc. engineers and manufactures specialized electrical and electronic components, modules, and integrated systems for a broad spectrum of vehicle markets, including automotive, commercial, off-highway, motorcycle, and agricultural sectors, operating across North America, South America, Europe, and other international territories. The company's operations are divided into three core segments: Control Devices, Electronics, and Stoneridge Brazil. The Control Devices segment delivers critical parts such as sensors, switches, actuators, and connectors, designed to monitor, measure, or activate specific vehicle functions. The Electronics segment focuses on developing and producing driver information systems, camera-based vision technologies, connectivity solutions, and compliance products. These offerings gather, store, and display vital vehicle data, including speed, pressure, maintenance information, trip logs, operator performance metrics, temperature, distance covered, and driver alerts pertaining to vehicle operation. Additionally, this segment creates electronic control units (ECUs) that manage, coordinate, supervise, and guide the overall electrical system within a vehicle.
SRI (Stoneridge, Inc.) trades in the Consumer Cyclical sector, specifically Auto - Parts, with a market capitalization of approximately $207.2M, a beta of 1.85 versus the broader market, a 52-week range of 4.6-9.71, average daily share volume of 205K, a public-listing history dating back to 1997, approximately 4K full-time employees. These structural characteristics shape how SRI stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 1.85 indicates SRI 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 SRI?
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 SRI snapshot
As of June 30, 2026, spot at $7.31, ATM IV 109.30%, IV rank 43.68%, expected move 31.34%. The iron condor on SRI 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 iron condor structure on SRI specifically: SRI IV at 109.30% is mid-range versus its 1-year history, so the credit collected on a SRI iron condor sits in line with its long-run distribution, with a market-implied 1-standard-deviation move of approximately 31.34% (roughly $2.29 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 SRI expiries trade a higher absolute premium for lower per-day decay. Position sizing on SRI should anchor to the underlying notional of $7.31 per share and to the trader's directional view on SRI stock.
SRI iron condor setup
The SRI 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 SRI near $7.31, the first option leg uses a $7.68 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SRI 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 SRI shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $7.68 | N/A |
| Buy 1 | Call | $8.04 | N/A |
| Sell 1 | Put | $6.94 | N/A |
| Buy 1 | Put | $6.58 | N/A |
SRI 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.
SRI iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on SRI. 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 SRI
Iron condors on SRI are a delta-neutral premium-collection structure that profits if SRI stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
SRI thesis for this iron condor
The market-implied 1-standard-deviation range for SRI extends from approximately $5.02 on the downside to $9.60 on the upside. A SRI iron condor is a delta-neutral premium-collection structure that pays off when SRI 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 SRI IV rank near 43.68% is mid-range against its 1-year distribution, so the IV signal is neutral; the iron condor thesis on SRI should anchor more to the directional view and the expected-move geometry. As a Consumer Cyclical name, SRI options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SRI-specific events.
SRI 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. SRI positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SRI alongside the broader basket even when SRI-specific fundamentals are unchanged. Short-premium structures like a iron condor on SRI carry tail risk when realized volatility exceeds the implied move; review historical SRI earnings reactions and macro stress periods before sizing. Always rebuild the position from current SRI chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on SRI?
- A iron condor on SRI is the iron condor strategy applied to SRI (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 SRI stock trading near $7.31, the strikes shown on this page are snapped to the nearest listed SRI chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are SRI 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 SRI iron condor priced from the end-of-day chain at a 30-day expiry (ATM IV 109.30%), 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 SRI iron condor?
- The breakeven for the SRI 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 SRI market-implied 1-standard-deviation expected move is approximately 31.34%; 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 SRI?
- Iron condors on SRI are a delta-neutral premium-collection structure that profits if SRI stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current SRI implied volatility affect this iron condor?
- SRI ATM IV is at 109.30% with IV rank near 43.68%, 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.