Put or Call Option Calculator
Calculate profits and losses for call and put options trading strategies
Options Calculator
Current market price of the underlying asset
Price at which you can buy the asset
Cost per option contract (premium paid)
Each contract represents 100 options
Expected price of the underlying asset at expiration
Call Option Results
Calculation Formulas
Example Calculations
Call Option Example
Stock: XYZ Corp trading at $75
Strike Price: $70
Option Price: $7.50
Target Price: $82.40
Contracts: 4 (400 options)
Total Cost: $7.50 × 4 × 100 = $3,000
Break-Even: $70 + $7.50 = $77.50
Profit at Target: ($82.40 - $70 - $7.50) × 400 = $1,960
Return: 65.33%
Put Option Example
Stock: ABC Corp trading at $50
Strike Price: $45
Option Price: $3.00
Target Price: $35
Contracts: 1 (100 options)
Total Cost: $3.00 × 1 × 100 = $300
Break-Even: $45 - $3.00 = $42.00
Profit at Target: ($45 - $35 - $3) × 100 = $700
Return: 233.33%
Option Types
Call Option
Right to BUY an asset at strike price. Profitable when price goes UP.
Bullish strategy - expect price increase
Put Option
Right to SELL an asset at strike price. Profitable when price goes DOWN.
Bearish strategy - expect price decrease
Option Status
In the Money
Option has intrinsic value
At the Money
Current price equals strike
Out of the Money
No intrinsic value
⚠️ Risk Warning
- • Options can expire worthless
- • You can lose 100% of premium paid
- • Past performance doesn't predict future results
- • Consider time decay and volatility
- • Consult financial advisors before trading
Understanding Options Trading
What are Options?
Options are derivative contracts that give you the right (but not obligation) to buy or sell an underlying asset at a predetermined price within a specific time frame. They're used for speculation, hedging, and income generation.
Key Terms
- •Strike Price: The agreed-upon price for the option
- •Premium: The cost to purchase the option
- •Expiration: When the option contract ends
- •Intrinsic Value: Option's immediate exercise value
How Options Work
Call Options
Profit when the underlying asset price rises above the strike price plus premium. Maximum loss is limited to the premium paid.
Put Options
Profit when the underlying asset price falls below the strike price minus premium. Maximum loss is limited to the premium paid.
Important: These calculations assume holding options until expiration. Options can be traded before expiration at market prices.