Bull Call Spread Calculator
Price a call debit spread from two strikes and see net debit, capped profit, break-even and return on risk.
At expiration with the stock at $105.00
+$307.00
Max loss -$193.00
At expiration with the stock at $105.00
+$307.00
Max profit
+$307.00
Max loss
-$193.00
Break-even
$101.93
Solid green and red: at expirationAmber: day 15, modeledDotted line: current price
- Net debit
- $193.00
- Modeled on day 15 at $105.00
- +$131.35
- Max profit as a share of max loss
- 159.1%
- Delta (shares)
- 21.9
- Gamma
- 0.50
- Theta per day
- -$0.84
- Vega per point
- +$1.24
Modeled profit and loss by stock price and day
| Stock | Day 0 | Day 8 | Day 15 | Day 23 | Expiry |
|---|---|---|---|---|---|
| $108.40 | $175 | $192 | $214 | $256 | $307 |
| $106.30 | $136 | $149 | $166 | $205 | $307 |
| $104.20 | $93 | $99 | $108 | $130 | $227 |
| $102.10 | $47 | $46 | $44 | $39 | $17 |
| $100.00 | $0.00 | -$8.40 | -$20 | -$50 | -$193 |
| $97.90 | -$44 | -$59 | -$78 | -$119 | -$193 |
| $95.80 | -$84 | -$102 | -$124 | -$162 | -$193 |
| $93.70 | -$118 | -$136 | -$156 | -$183 | -$193 |
| $91.60 | -$144 | -$160 | -$175 | -$190 | -$193 |
How to calculate a bull call spread
A bull call spread buys a call and sells a higher strike call with the same expiration. The sold call lowers the cost and the break-even, and in exchange it caps the profit at the distance between the strikes minus what you paid.
The most useful figure is max profit against max loss, because the spread defines both in advance. Choose the upper strike near where you think the stock can realistically go, since any move beyond it earns nothing extra.
Net debit = lower call premium − upper call premium. Max profit = (strike width − net debit) × 100. Max loss = net debit × 100. Break-even = lower strike + net debit.
Worked example
With a stock at $420, you buy the $420 call for $8.00 and sell the $430 call for $4.00. The debit is $4.00, or $400 a spread, and that is the maximum loss.
The maximum profit is ($10 − $4) × 100, or $600, at $430 or above, which is 150% of the amount at risk. The break-even is $424.
What the result does not account for
- Early assignment on the short call, most likely just before an ex-dividend date.
- Closing costs. Most of the maximum profit only arrives close to expiration, and two legs mean two spreads to cross.
- Dividends and changes in implied volatility in the time-decay view.
Frequently asked questions
Why use a bull call spread instead of just buying a call?
The sold call pays for part of the long call, which lowers the cost, the maximum loss and the break-even. In return, the profit stops at the upper strike.
What happens if the stock moves past both strikes?
Both calls finish in the money, and the spread is worth its full width. Your profit is the width minus the debit, and any move beyond the upper strike adds nothing.
Related calculators
- Options Profit CalculatorBuild a trade of up to six legs and see its payoff chart, break-evens, maximum profit and loss, and how time decay changes the result before expiration.
- Long Call Options CalculatorSee the cost, break-even and profit at any stock price for buying a call, and how much value it loses to time if the stock stands still.
- Bear Put Spread CalculatorPrice a put debit spread from two strikes and see net debit, capped profit, break-even and return on risk.
Articles on this topic
This calculator with a ticker loaded
SPYQQQIWMTSLANVDAAAPLAMDMSFTAMZNMETAGOOGLNFLXCOINPLTRSOFIFBACINTCMARADIA
Affiliate disclosure: if you open a broker account through our tastytrade link, we may earn a commission. Compare fees yourself before choosing a broker.