Personal Finance and Money Stack Exchange
Personal Finance and Money Stack Exchange

Questions tagged [put-options]

A put option is a contract giving the owner the right, but not the obligation, to sell–or sell short–a specified amount of an underlying security at a pre-determined price within a specified time frame. Related tags are [call-options, options, options-assignment, option-exercise and should be used when appropriate.

This tag is to be used for any question on put-options. i.e. an agreement or right to sell a stock or commodity at a specific price. Related tags [call-options, options, options-assignment, option-exercise] should be used when appropriate.

277 questions
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What happens to my put options on RSX expiring March 18 2022, if RSX remains halted then?

I bought put options on RSX (VanEck Russia ETF) that shall expire March 18 2022. How can I sell them now for profit? I don't want the underlying RSX shares. I just want to cash out on my gain! If RSX is still halted on 3/18/2022, will my puts…
user116038
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Can I profit from selling a PUT on BBY?

http://www.google.com/finance/option_chain?q=NYSE:BBY If I sell a Put at a $28 strike price, I'll earn $0.26/share (times 100 for one contract) = $26 today, correct? And as long as BBY doesn't drop to $28 by June 18, I keep the money. If it drops to…
Shamoon
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Put Option Pricing

I'm looking to buy a put option, but I don't understand the pricing. There is a stock X, and it trades at $200 / share. A 1 week put option is priced at $0.75 / option. But to actually make the trade for 1 option, the cost of the transaction is…
James
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If a put option is delisted before its price drops, can I still profit?

Presuppose that I buy put options on a Chinese company, for I think its price will drop. What happens if the it gets delisted before its price drops? After the option is delisted, can its price still drop? Even if I can profit from any price drop,…
user10763
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2 answers

When a long PUT expires in-the-money, whose shares are being sold?

If I buy a PUT without owning any shares in the underlying stock, what happens if it expires in-the-money? The seller will be required to buy the shares, but whose shares?
alekop
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Put on a put option

I am not entirely sure why you would want to do this, but if you believed that a stock would increase in value, but you doubted yourself severely, would it be possible to buy a put option where the underlying security was another put option? This…
nosyarg
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Understanding the synthetic long put option

I am having trouble understanding the following synthetic relationship: Synthetic long put option = Short underlying + long call Now, if XYZ is at 40, and I short XYZ at 40 and also purchase the 40 call, then: Short position benefits if…
Victor123
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Calculating Options P&L on UK stocks

Am I correct in thinking that in the UK stocks trade in pence i.e. a value of say 455 would be £4.55. Also stock options on UK based stocks (on the LSE) are for 1,000 shares. If so, is the following the correct calculation for the profit on a long…
Mathlearner
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Value of put if underlying stays below strike?

If ABC stock is trading at $5 and I buy the Jan 15 strike put for $8.25, what happens to the value of this put at expiration if ABC only meandered between $5 to $7 during the entire period?
4thSpace
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Put Options with strikes 30 and 20 on the same asset with same maturity are trading for $6 and $4 respectively. Can you find an arbitrage?

New to finance questions and reading from 150 Most Frequently Asked Questions on Quant Interviews. In the solutions section of this book, it says: In the plane (K,P(K)) the options values correspond to the points (30,6), (20,4), and (0,0) which are…
OliviaV
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I have sold stock PUT option with strike 32,5 and expiration date JAN 2023. Stock will be acquired fully in cash for 32,25 in Q12023

What will happen with my PUT option if acquisition will happen before my put option expires?
Filip
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Why was my Short Put Option position assigned early?

I sold a Put Option months ago. The Option was deep in the money and expired last Friday, but was assigned early the previous Wednesday afternoon. Why? What does the holder of the Option gain from doing this? I understand early assignment of a Call…
user19035
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Sell Put Strike Price and Share Price

I have a sell put Strike @ $100. At expiry yesterday, share price is @ $100.32. Will I be exercise?
Henry Koh
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Question on selling PUT option

I am new to investing. Consider a scenario of investing where, I wish to sell a PUT option at a strike price higher than current market price. Question: Can the PUT buyer exercise the option anytime they want OR Only when the stock price hits the…
Ayusman
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Put Option Help

As part of a newsletter subscription service, I purchased the following at their recommendation: 4 contracts of USB May 21, 2021 $52.50 Puts at price of $1.33 1 contract of HD May 21, 2021 $295 Puts at price of $2.25 What is my potential maximum…
Ann
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