Pennymac Mortgage Investment Trust (PMT) Straddle

Trading a PMT straddle lets you take a pure volatility position on Pennymac Mortgage Investment Trust without committing to a direction. Pennymac Mortgage Investment Trust's straddle involves buying (or selling) a call and a put at the same strike and expiration, profiting when the stock moves more (or less) than the combined premium implies. Use our scanner to evaluate PMT straddle pricing in real time and find the moments when expected moves are mispriced.

A long straddle on PMT profits from large moves in either direction and is a classic play into binary events like earnings, product announcements, or macro releases. A short straddle profits when Pennymac Mortgage Investment Trust stays range-bound and implied volatility contracts. The breakeven points are simple: strike plus total premium on the upside, strike minus total premium on the downside. Comparing the PMT straddle price to historical realized moves helps you judge whether the market is overpaying or underpaying for volatility.

PennyMac Mortgage Investment Trust, a specialty finance company, primarily invests in mortgage-related assets in the United States. The company's Credit Sensitive Strategies segment invests in credit risk transfer (CRT) agreements, CRT securities, distressed loans, real estate, and non-agency subordinated bonds. Its Interest Rate Sensitive Strategies segment engages in investing in mortgage servicing rights, excess servicing spreads, and agency and senior non-agency mortgage-backed securities (MBS), as well as related interest rate hedging activities. The company's Correspondent Production segment is involved in purchasing, pooling, and reselling newly originated prime credit residential loans directly or in the form of MBS.

PNMAC Capital Management, LLC acts as the manager of PennyMac Mortgage Investment Trust. The company qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its shareholders. PennyMac Mortgage Investment Trust was founded in 2009 and is headquartered in Westlake Village, California.

Earnings, product cycles, macro prints — any time volatility itself is the trade, the PMT straddle is the cleanest expression of that view. Our scanner prices every PMT straddle against historical realized moves, flags expirations where the market is overpaying or underpaying for vol, and ranks setups by breakeven width and IV rank. Whether you're long a PMT straddle into a catalyst or short a PMT straddle to harvest decay, the options straddle setups that matter are all in one place.