$Caterpillar(CAT)$ Options Short Iron Condor: Credit $295, Max Profit $295 on Apr 8, 2026
📊 Ticker: $CAT
Strategy: Short Iron Condor
Contracts:
-
Sell to Open: CAT Apr 17 $740 Call
-
Buy to Open: CAT Apr 17 $750 Call
-
Sell to Open: CAT Apr 17 $710 Put
-
Buy to Open: CAT Apr 17 $700 Put
Cost: $295
-
Max Gain: $295 (100% of premium if stock stays between $710-$740)
-
Max Loss: $705 (if stock moves outside the wings)
Profit Zone: $700 - $710 to $740 - $750
Thesis: Neutral to range-bound view on Caterpillar. Earnings volatility has likely compressed, expecting the stock to chop sideways through April expiration. Collecting premium from both sides while defining risk outside the expected move. Happy if it stays in the middle—max pain is a big breakout in either direction.
Comments