Options Profit & Loss (P&L) Calculator
Calculate options contract profit & loss, break-even stock price, max profit, max risk, and return on capital for calls, puts, and covered positions.
Calculated Results
Frequently Asked Questions
How does a Long Call option profit work?
When you buy a Call option, you pay an upfront premium for the right to buy 100 shares per contract at the strike price. Your break-even is Strike + Premium. If the stock expires above break-even, your profit grows dollar-for-dollar without ceiling.
What is the maximum risk when buying a call or put option?
When buying long options (calls or puts), your risk is strictly capped at 100% of the premium paid upfront. If the contract expires out of the money (OTM), it expires worthless and you lose only the initial debit.
How do you calculate break-even for a Long Put option?
For a Long Put, the break-even stock price at expiration is calculated as: Strike Price minus Premium per share. If the stock falls below this threshold, the put becomes intrinsically profitable.
What is a standard US options contract multiplier?
In standard US equity and ETF markets, one option contract controls exactly 100 shares of the underlying stock. Therefore, a premium quoted at $4.50 translates to a cash outlay of $450.00 per contract.