O

REALTY INCOME CORP (O) reports earnings Wednesday after the close. Consensus EPS estimate is $1.10.

IV Rank is elevated at 74, indicating options premiums are pricing in a larger-than-usual move. This creates an edge for premium sellers — the IV crush after the event can be significant.

A short strangle with strikes beyond the ±5.3% expected move could capture the IV crush. This is a higher-risk play — consider defined-risk alternatives or strict position sizing.

Enter the position 1-2 days before earnings to capture the final IV ramp. Plan to close the morning after the report once IV collapses — don't hold hoping for further decay.