STLA Iron Condor Strategy
STLA (Stellantis N.V.), in the Consumer Cyclical sector, (Auto - Manufacturers industry), listed on NYSE.
Stellantis N.V. engages in the designing, engineering, manufacturing, distribution, and sale of automobiles and light commercial vehicles, engines, transmission systems, and mobility services worldwide. It provides luxury and premium vehicles; global sport utility vehicles; American and European brand vehicles, as well as parts and accessories. The company also provides contract services; retail and dealer financing services; and vehicle leasing and rental services, as well as engages in after-market parts and service businesses and data businesses. It offers its products under the Abarth, Alfa Romeo, Chrysler, Citroën, DS Automobiles, Dodge, Fiat, Jeep, Maserati, Ram Trucks, Opel, Lancia, Vauxhall, Peugeot, Free2move, Share Now, Leasys, and Comau brand names through distributors and dealers. The company operates in North America, France, Brazil, Italy, Germany, the United Kingdom, Turkiye, Spain, Argentina, Belgium, Austria, Netherlands, Portugal, Poland, Algeria, Morocco, Japan, China, and internationally. Stellantis N.V. was founded in 1899 and is based in Hoofddorp, the Netherlands.
STLA (Stellantis N.V.) trades in the Consumer Cyclical sector, specifically Auto - Manufacturers, with a market capitalization of approximately $15.49B, a beta of 0.99 versus the broader market, a 52-week range of 5.25-12.22, average daily share volume of 20.1M, a public-listing history dating back to 2010, approximately 259K full-time employees. These structural characteristics shape how STLA stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.99 places STLA roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. STLA pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a iron condor on STLA?
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.
STLA snapshot
As of August 14, 2026, spot at $5.36, ATM IV 42.07%, IV rank 24.60%, expected move 12.06%. The iron condor on STLA below is built from the August 14, 2026 end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 14-day expiry.
Why this iron condor structure on STLA specifically: STLA IV at 42.07% is on the cheap side of its 1-year range, which means a premium-selling STLA iron condor collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 12.06% (roughly $0.65 on the underlying). The 14-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated STLA expiries trade a higher absolute premium for lower per-day decay. Position sizing on STLA should anchor to the underlying notional of $5.36 per share and to the trader's directional view on STLA stock.
STLA iron condor setup
The STLA iron condor below is built from the August 14, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With STLA at $5.36 on that close, the first option leg uses a $5.50 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed STLA chain at a 14-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 STLA shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $5.50 | $0.10 |
| Buy 1 | Call | $6.00 | $0.01 |
| Sell 1 | Put | $5.00 | $0.03 |
| Buy 1 | Put | $5.00 | $0.03 |
STLA iron condor risk and reward
- Net Premium / Debit
- +$9.00
- Max Profit (per contract)
- $9.00
- Max Loss (per contract)
- -$41.00
- Breakeven(s)
- $5.59
- Risk / Reward Ratio
- 0.220
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.
STLA iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on STLA. 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 | -99.8% | +$9.00 |
| $1.19 | -77.7% | +$9.00 |
| $2.38 | -55.6% | +$9.00 |
| $3.56 | -33.5% | +$9.00 |
| $4.75 | -11.5% | +$9.00 |
| $5.93 | +10.6% | -$34.01 |
| $7.11 | +32.7% | -$41.00 |
| $8.30 | +54.8% | -$41.00 |
| $9.48 | +76.9% | -$41.00 |
| $10.67 | +99.0% | -$41.00 |
When traders use iron condor on STLA
Iron condors on STLA are a delta-neutral premium-collection structure that profits if STLA stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
STLA thesis for this iron condor
The market-implied 1-standard-deviation range for STLA extends from approximately $4.71 on the downside to $6.01 on the upside. A STLA iron condor is a delta-neutral premium-collection structure that pays off when STLA 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 STLA IV rank near 24.60% 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 STLA at 42.07%. As a Consumer Cyclical name, STLA options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to STLA-specific events.
STLA 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. STLA positions also carry Consumer Cyclical sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move STLA alongside the broader basket even when STLA-specific fundamentals are unchanged. Short-premium structures like a iron condor on STLA carry tail risk when realized volatility exceeds the implied move; review historical STLA earnings reactions and macro stress periods before sizing. Always rebuild the position from current STLA chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on STLA?
- A iron condor on STLA is the iron condor strategy applied to STLA (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 STLA stock at $5.36 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed STLA chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are STLA 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 STLA iron condor priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 42.07%), the computed maximum profit is $9.00 per contract and the computed maximum loss is -$41.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a STLA iron condor?
- The breakeven for the STLA iron condor priced on this page is roughly $5.59 at expiration, derived from the August 14, 2026 end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The STLA market-implied 1-standard-deviation expected move in the same options snapshot is approximately 12.06%; 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 STLA?
- Iron condors on STLA are a delta-neutral premium-collection structure that profits if STLA stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current STLA implied volatility affect this iron condor?
- STLA ATM IV is at 42.07% with IV rank near 24.60%, 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.