ComputeYard

The math, explained. Every formula shown, every result tested.

Iron Condor Calculator

Price a full iron condor: enter the four strikes and premiums and see your net credit, maximum profit, maximum loss, both breakevens and the payoff diagram at expiry. It is the same exact, model-free engine behind our options profit calculator, pre-loaded for the condor.

How it works

An iron condor is a neutral, defined-risk income trade: you sell an out-of-the-money put spread below the price and an out-of-the-money call spread above it, collecting a net credit. You keep the full credit if the stock finishes between the two short strikes at expiry; your loss is capped because each side has a long wing.

The calculator builds the position from four legs and walks the payoff line once to find breakevens, max profit and max loss, so the condor uses exactly the same trusted math as every other position (no per-strategy shortcuts). It shows profit and loss at expiration; there is no time value or volatility input, which is what makes the result exact. For a single side, see the credit spread calculator.

Worked example

With the stock at $100, sell the 95 put for $2 and buy the 90 put for $1; sell the 105 call for $2 and buy the 110 call for $1 (one contract each, multiplier 100):

  • Net credit = (2 − 1) + (2 − 1) = $2/share = $200. That is your max profit.
  • Each wing is 5 wide, so max loss = (5 − 2) × 100 = $300 (only one side can finish in the money).
  • Lower breakeven = 95 − 2 = $93; upper breakeven = 105 + 2 = $107.
  • You keep the full $200 if the stock expires anywhere between $95 and $105.

The formula

net credit  = (put credit − put debit) + (call credit − call debit)
max profit  = net credit × multiplier × contracts      (price between short strikes)
max loss    = (wing width − net credit) × multiplier    (price beyond a long strike)
lower breakeven = short put strike  − net credit
upper breakeven = short call strike + net credit

Assumes equal-width wings; with unequal wings the max loss is the wider wing minus the net credit. Values are at expiry, per share unless multiplied by the contract multiplier (100).

FAQ

What is the max profit on an iron condor?
The net credit you collected, kept in full when the stock expires between your two short strikes. In the example above that is $200.
How do I calculate the breakevens?
Lower breakeven is the short put strike minus the net credit; upper breakeven is the short call strike plus the net credit. Between them you make money.
Is an iron condor bullish or bearish?
Neither, it is neutral. It profits when the stock stays range-bound and loses if it moves sharply through either short strike.
Does this price the condor before expiry?
No, it shows profit and loss at expiration, which is exact. Pre-expiry value (time decay, volatility) needs an option-pricing model and is separate.

More calculators