To The Moon

$Advanced Micro Corporation (AMD) $Will be onAnnounce the latest quarterly earnings report on February 3 (after hours EST), the overall market expectation is optimistic. Analysts generally expect that the company willRevenue is approximately in the range of US $9.4 billion-9.7 billion，Earnings per share (EPS) of approximately $1.24-$1.32, maintaining year-on-year growth. Wherein,Data Center and AI Accelerator BusinessStill the biggest attraction, investors focus on the shipment progress of Instinct series GPUs and EPYC server CPUs and their contribution to gross profit margins; Client and game businesses are regarded as performance stabilizers. After the financial report is announced,Management's Guidance for FY2026Will become a key variable influencing stock price performance. In terms of risks, the competitive landscape of AI chips, export restriction policies and cyclical fluctuations in the semiconductor industry may still cause disturbances to performance and market sentiment.

Income Analysis of AMD's Strategy of Selling Iron Eagle Options

1. Strategy structure

Investors inAMD Advanced Micro DevicesBuild aShort Iron Condor Strategy。

The strategy is defined bySell Put Spread + Sell Call SpreadCombined, belonging toLimited benefits, limited risksNeutral strategy, suitable for judgmentAMD maintains range-bound fluctuations before expiration, without sharp gains or declinesSituation.

(1) Put side: Sell call spread (Bull Put Spread)

Put-side execution price and premium:

• Buy Put (K ₁): 230, premium3.98

• Sell Put (K ₂): 235, premium5.45

1 ️ ⃣ Sell higher strike price Put (main source of income)

• Sell 1 strike priceK ₂ = 235Put of

• Premium received$5.45/Share

as long asAMD Expiration Price ≥ $235, the Put will be completely invalid, and all premium rights will be included in the earnings.

2 ️ ⃣ Buy lower strike price Put (downside risk protection)

• Buy 1 share strike priceK ₁ = 230Put of

• Payment premium$3.98/Share

This Put is used to provide protection in the event of a significant decline in AMD, therebyLock in the maximum loss, avoid the unlimited downside risk of naked selling Put.

3 ️ ⃣ Put-side net income (per share)

Net premium = Sell Put − Buy Put = 5.45 − 3.98 =$1.47/Share

(2) Call side: Sell put spread (Bear Call Spread)

Call-side execution price and premium:

• Sell Call (K ₃): 265, premium3.90

• Buy Call (K ₄): 270, premium2.91

1 ️ ⃣ Sell lower strike price Call (main source of income)

• Sell 1 strike priceK ₃ = 265Call

• Premium received$3.90/Share

as long asAMD Expiration Price ≤ $265, the Call will be completely invalidated, and premium will receive all revenues.

2 ️ ⃣ Buy higher strike price Call (upside risk protection)

• Buy 1 share strike priceK ₄ = 270Call

• Payment premium$2.91/Share

This Call is used to provide protection in the event of a significant rise in AMD, therebyLock in the maximum loss, to avoid the unlimited upside risk of naked selling Call.

3 ️ ⃣ Call-side net income (per share)

Net premium = Sell Call − Buy Call = 3.90 − 2.91 =$0.99/Share

2. Overall initial net income

Net premium (per share)

Net income on Put side + Net income on Call side = 1.47 + 0.99 =$2.46/Share

Initial net income (per contract, 100 shares)

= 2.46 × 100 =$246/contract

👉 The initial net income isThe maximum potential profit of selling the Iron Eagle strategy。

3. Maximum profit

WhenAMD expiration price in the range of $235 ~ $265Time:

• Put side and Call side optionsAll out of the price

• All four options lapsed

Investors get maximum profits:

• PER SHARE: $2.46

• Per contract: $246

4. Maximum loss

Iron Eagle strategy is inThe Put side or Call side is fully triggeredThe maximum loss will occur.

Strike spread width

• Put End: 235 − 230 =$5

• Call End: 270 − 265 =$5(Same width on both sides)

Maximum loss (per share)

= Strike spread − Net premium = 5 − 2.46 =$2.54/Share

Maximum loss (per contract)

= 2.54 × 100 =$254/contract

📉Conditions of occurrence:

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• AMD ≤$230(Put side is fully triggered) or

• AMD ≥$270(Call side is fully triggered)

5. Break-even point (two)

Break-even point below

= Put Sell Strike Price − Net premium = 235 − 2.46 =$232.54

Above break-even point

= Call Sell Strike Price + Net premium = 265 + 2.46 =$267.46

Maturity judgment rules

• 232.54 < AMD < 267.46 → earnings

• AMD = 232.54 or 267.46 → No Profit or Loss

• AMD< 232.54 或 >267.46 → Loss

6. Risk and return characteristics

• Maximum benefit: $246/contract (limited)

• Maximum loss: $254/contract (limited)

• Profit-loss ratio: Gain: Loss ≈246: 254 ≈ 1: 1.03

7. Strategic characteristics and applicable situations

Strategy Characteristics

• Neutral biased oscillation strategy

• Does not require AMD to rise or fall

• Core revenue comes fromTime Value Decay (Theta)

• When opening a position, you can clarify the maximum return and maximum risk

• Compared with naked selling bilateral options, the risk is highly controllable

Applicable situations

When investors judge:

• AMD short-termMaintain a range of 235 ~ 265

• Before expirationLow probability of breaking below 230 or breaking 270

• Hope inDefine the upper limit of riskUnder the premise of obtaining stable premium income