A both Risk-on & Risk-off Strategy, will you follow?

The single-leg 60,000-count, 120,000-count total of large orders from $Reddit(RDDT)$ which surged after its recent earnings report, were

1. Sell Call of 220 due Jan 15, 2027 at 41.48

2. Sold Put of 115 due Jan 15, 2027 for 32.48

A typical inversed straddle strategy.

The magic is, used in the 2027 options, expiration is still two years, the time span is very large, and choose the relative out-of-the-money price, in other words, he prefers to profit through the value of time, there is a certain "interest-eating" nature.

But the bold and is the use of options seller, once the stock price breaks through the upper or lower limit, there may be a large loss.

Let's do the math for him:

The margin on the recently expired Reversed Straddle is relatively low, and at his 55% out-of-the-money Call and 19% out-of-the-money Put, it's actually only about one-tenth of a percent of the underlying stock.

Even if we take a full count at $14,178 a lot of the underlying stock, if the January 2027 expiration doesn't break out of this range, it will yield a staggering $7,396, or 52%, or more than 20% annualized.

What's more, there's an option to close the position early if it gains a lot during that time.

Would you guys consider such an operation?