Long Put Options Calculator
See the cost, break-even and downside profit for buying a put, including the maximum if the stock falls to zero.
At expiration with the stock at $105.00
-$326.00
Max loss -$326.00
At expiration with the stock at $105.00
-$326.00
Max profit
+$9,674.00
Max loss
-$326.00
Break-even
$96.74
Solid green and red: at expirationAmber: day 15, modeledDotted line: current price
- Net debit
- $326.00
- Modeled on day 15 at $105.00
- -$255.11
- Max profit as a share of max loss
- 2967.5%
- Delta (shares)
- -46.8
- Gamma
- 4.63
- Theta per day
- -$5.15
- Vega per point
- +$11.40
Modeled profit and loss by stock price and day
| Stock | Day 0 | Day 8 | Day 15 | Day 23 | Expiry |
|---|---|---|---|---|---|
| $109.70 | -$266 | -$290 | -$309 | -$324 | -$326 |
| $107.28 | -$229 | -$261 | -$289 | -$318 | -$326 |
| $104.85 | -$175 | -$214 | -$252 | -$300 | -$326 |
| $102.43 | -$100 | -$144 | -$189 | -$255 | -$326 |
| $100.00 | $0.00 | -$45 | -$92 | -$164 | -$326 |
| $97.57 | $127 | $86 | $43 | -$19 | -$83 |
| $95.15 | $282 | $248 | $215 | $175 | $159 |
| $92.72 | $461 | $437 | $417 | $400 | $402 |
| $90.30 | $662 | $649 | $640 | $638 | $644 |
How the long put works
Buying a put gives you the right to sell 100 shares at the strike until expiration. The premium is the most you can lose. The most you can make is capped because a stock can only fall to zero, so the maximum is the strike minus the premium, times 100.
A long put is a defined-risk way to profit from a fall, and it is also how holders insure shares they own. Unlike a short sale it has no margin call, but it loses value with time.
Break-even = strike − premium. Max profit = (strike − premium) × 100 × contracts. Max loss = premium × 100 × contracts.
Worked example
You buy the $500 put for $12.00, paying $1,200. The break-even at expiration is $488.
At $450 the put is worth $50, for a $3,800 profit. At $500 or above you lose $1,200. The absolute maximum is $48,800 if the stock goes to zero.
What the result does not account for
- Dividends, which the time-decay model ignores and which raise a put's value.
- American-style exercise, which can make deep in-the-money puts worth more than this model shows.
- The spread, commissions and later changes in implied volatility.
Frequently asked questions
Is buying a put better than short selling?
They carry different risks. A long put cannot lose more than its premium and has no margin call, but it expires and loses value with time. A short sale has no expiration, but its loss has no fixed limit and it pays borrow costs.
Can I use puts to protect my stock portfolio?
Yes, a put on shares you own gains value as the stock falls below the strike and offsets part of the loss. You pay the premium for that protection. Add a stock leg in the options profit calculator to see the combined payoff.
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.
- Bear Put Spread CalculatorPrice a put debit spread from two strikes and see net debit, capped profit, break-even and return on risk.
- 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.
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