A put option is considered a derivative security because its value is derived from the value of an underlying asset (e.g., shares of a stock). Investing in a put is like betting that the price ...
Similar to call options, put options derive their value from an underlying asset, such as stocks, bonds, commodities or currencies. Prudent asset selection influences a put option's worth.
If you're interested in options trading, one of the first things to learn is the difference between call and put options. You'll see these terms used all the time, so understanding them is a must.
Alternatively, they can resell the contract on the open market. Put options gain value when the price of the underlying stock goes down, so they are considered bearish. For instance, if an ...
Underlying Value of MSFT Stock And why not? In my last Barchart article, I discussed how MSFT stock could be worth at least $548.88 per share. That was based on its strong free cash flow (FCF) and ...