Options Profit Calculator
Calculate your potential profit or loss on call and put options. Supports long and short positions with break-even analysis.
Total Premium: 5 × 100 = $500.00
Intrinsic Value: max(0, 110 - 100) = $10.00
Profit / Loss: $1,000.00 - $500.00 = $500.00
How Options Profit Calculation Works
An option gives you the right (but not the obligation) to buy or sell a stock at a specific price (the strike price) before or at expiration. A call option profits when the stock goes up, while a put option profits when the stock goes down. The premium is the price you pay to buy the option — it represents your maximum loss if you're the buyer.
For a long call, your profit at expiration is: (Stock Price - Strike Price) × 100 shares per contract, minus the premium paid. For a long put, it's: (Strike Price - Stock Price) × 100 - premium. Short positions (selling options) reverse this: you collect the premium upfront but take on the obligation. Short calls have theoretically unlimited risk if the stock rises.
The break-even price is where your profit equals zero. For calls, it's the strike price plus the premium; for puts, it's the strike price minus the premium. Options are a leveraged instrument — small price movements can produce large percentage returns (or losses). For stock investment calculations, see the investment calculator, or for dividend income, try the dividend calculator.