WWD Iron Condor Strategy
WWD (Woodward, Inc.), in the Industrials sector, (Aerospace & Defense industry), listed on NASDAQ.
Woodward, Inc. (WWD) stands as a prominent global entity, specializing in the engineering, production, and maintenance of advanced control solutions for both the aerospace and industrial sectors. The company organizes its operations into two distinct divisions: Aerospace and Industrial. Within its Aerospace segment, Woodward delivers a comprehensive array of crucial components. This includes fuel pumps, metering units, various types of actuators, air and specialized valves, fuel nozzles, and thrust reverser actuation systems, primarily designed for turbine engines and nacelles. Additionally, it provides flight deck controls, servocontrols, motors, and sensors for aircraft applications. These sophisticated offerings are integral to a wide range of platforms, encompassing commercial and private airplanes and rotorcraft, military fixed-wing and rotary-wing aircraft, guided munitions, and diverse defense systems.
WWD (Woodward, Inc.) trades in the Industrials sector, specifically Aerospace & Defense, with a market capitalization of approximately $21.61B, a trailing P/E of 39.18, a beta of 0.88 versus the broader market, a 52-week range of 233.31-450.92, average daily share volume of 778K, a public-listing history dating back to 1994, approximately 10K full-time employees. These structural characteristics shape how WWD stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.88 places WWD roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 39.18 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. WWD pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a iron condor on WWD?
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.
WWD snapshot
As of August 14, 2026, spot at $369.09, ATM IV 33.30%, IV rank 23.90%, expected move 9.55%. The iron condor on WWD 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 35-day expiry.
Why this iron condor structure on WWD specifically: WWD IV at 33.30% is on the cheap side of its 1-year range, which means a premium-selling WWD iron condor collects less credit per unit of strike-width risk, with a market-implied 1-standard-deviation move of approximately 9.55% (roughly $35.24 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated WWD expiries trade a higher absolute premium for lower per-day decay. Position sizing on WWD should anchor to the underlying notional of $369.09 per share and to the trader's directional view on WWD stock.
WWD iron condor setup
The WWD 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 WWD at $369.09 on that close, the first option leg uses a $390.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed WWD chain at a 35-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 WWD shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Sell 1 | Call | $390.00 | $7.35 |
| Buy 1 | Call | $410.00 | $2.63 |
| Sell 1 | Put | $350.00 | $7.90 |
| Buy 1 | Put | $330.00 | $4.38 |
WWD iron condor risk and reward
- Net Premium / Debit
- +$825.00
- Max Profit (per contract)
- $825.00
- Max Loss (per contract)
- -$1,175.00
- Breakeven(s)
- $341.75, $398.25
- Risk / Reward Ratio
- 0.702
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.
WWD iron condor payoff curve
Modeled P&L at expiration across a range of underlying prices for the iron condor on WWD. 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% | -$1,175.00 |
| $81.62 | -77.9% | -$1,175.00 |
| $163.22 | -55.8% | -$1,175.00 |
| $244.83 | -33.7% | -$1,175.00 |
| $326.44 | -11.6% | -$1,175.00 |
| $408.04 | +10.6% | -$979.37 |
| $489.65 | +32.7% | -$1,175.00 |
| $571.26 | +54.8% | -$1,175.00 |
| $652.86 | +76.9% | -$1,175.00 |
| $734.47 | +99.0% | -$1,175.00 |
When traders use iron condor on WWD
Iron condors on WWD are a delta-neutral premium-collection structure that profits if WWD stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
WWD thesis for this iron condor
The market-implied 1-standard-deviation range for WWD extends from approximately $333.85 on the downside to $404.33 on the upside. A WWD iron condor is a delta-neutral premium-collection structure that pays off when WWD 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 WWD IV rank near 23.90% 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 WWD at 33.30%. As a Industrials name, WWD options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to WWD-specific events.
WWD 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. WWD positions also carry Industrials sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move WWD alongside the broader basket even when WWD-specific fundamentals are unchanged. Short-premium structures like a iron condor on WWD carry tail risk when realized volatility exceeds the implied move; review historical WWD earnings reactions and macro stress periods before sizing. Always rebuild the position from current WWD chain quotes before placing a trade.
Frequently asked questions
- What is a iron condor on WWD?
- A iron condor on WWD is the iron condor strategy applied to WWD (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 WWD stock at $369.09 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed WWD chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are WWD 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 WWD iron condor priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 33.30%), the computed maximum profit is $825.00 per contract and the computed maximum loss is -$1,175.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a WWD iron condor?
- The breakeven for the WWD iron condor priced on this page is roughly $341.75 and $398.25 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 WWD market-implied 1-standard-deviation expected move in the same options snapshot is approximately 9.55%; 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 WWD?
- Iron condors on WWD are a delta-neutral premium-collection structure that profits if WWD stock stays inside the inner short strikes; short strikes typically sit near 1 standard deviation from spot.
- How does current WWD implied volatility affect this iron condor?
- WWD ATM IV is at 33.30% with IV rank near 23.90%, 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.