Options Profit Calculator

Calculate potential profit or loss on call and put options. See your ROI and per-contract returns instantly.

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Options Quick Facts

Contract Size
100 Shares
Standard equity option
Call Option
Right to Buy
Profits when price rises
Put Option
Right to Sell
Profits when price falls
Max Loss (Long)
Premium Paid
Limited downside risk

Your Results

Calculated
Total Profit/Loss
$0
All contracts combined
Per Contract
$0
100 shares per contract
Return on Investment
0%
Based on premium paid
Breakeven Price
$0
Stock price needed to break even
Total Investment
$0
Premium x contracts x 100
Intrinsic Value
$0
Per share at current price

Key Takeaways

  • Call options profit when the stock price rises above strike + premium
  • Put options profit when the stock price falls below strike - premium
  • Each contract controls 100 shares of the underlying stock
  • Maximum loss when buying options is limited to the premium paid
  • ROI can exceed 100% due to leverage, but timing risk is high

How to Calculate Options Profit

Options trading allows you to control 100 shares of stock for a fraction of the price. Understanding your potential profit or loss before entering a trade is essential for risk management.

Call Profit = (Stock Price - Strike Price - Premium) x 100 x Contracts Put Profit = (Strike Price - Stock Price - Premium) x 100 x Contracts
Stock Price = Current/expected price
Strike Price = Contract strike
Premium = Cost per share

Understanding Call Options

A call option gives you the right (but not obligation) to buy 100 shares at the strike price. You profit when the stock price rises above your breakeven point (strike + premium).

Call Option Example

Strike Price $100
Premium Paid $5
Stock Rises To $120
Profit $1,500

Profit = ($120 - $100 - $5) x 100 = $1,500 per contract (300% ROI)

Understanding Put Options

A put option gives you the right to sell 100 shares at the strike price. You profit when the stock price falls below your breakeven point (strike - premium).

Put Option Example

Strike Price $100
Premium Paid $4
Stock Falls To $85
Profit $1,100

Profit = ($100 - $85 - $4) x 100 = $1,100 per contract (275% ROI)

Pro Tip: Time Decay (Theta)

Options lose value every day due to time decay. The closer to expiration, the faster the decay. This calculator shows profit at a specific price point - actual profits depend on when you exit the trade.

Breakeven Analysis

Understanding your breakeven point is crucial:

  • Call Breakeven: Strike Price + Premium Paid
  • Put Breakeven: Strike Price - Premium Paid

Risk Warning

Options can expire worthless, resulting in 100% loss of your premium. Most options (over 70%) expire out of the money. Never invest more than you can afford to lose, and consider using stop losses to manage risk.

When to Use This Calculator

  • Evaluating potential trades before entering
  • Comparing different strike prices and premiums
  • Setting profit targets and stop losses
  • Analyzing the risk/reward ratio of options strategies
  • Planning exit points based on stock price targets