Aug 17, 2025 · What Is a Stock Option? A stock option (also known as an equity option) gives an investor the right—but not the obligation—to buy or sell a stock at an agreed-upon price and date.

Sep 30, 2024 · Options let you pay for the right to buy or sell a stock or ETF at a specific price within a set timeframe. Because they typically could cost a fraction of what buying an asset …

Jul 30, 2024 · Options are a type of derivative, which means they derive their value from an underlying asset. This underlying asset can be a stock, a commodity, a currency or a bond. To …

Jun 30, 2025 · Options are quoted in the price per share of stock, rather than the price to own an actual contract. For instance, the quoted price on an option may be $1.25. To buy that …

Aug 21, 2024 · Discover what options trading is, how to trade options and review four core strategies available to individual investors.

How does options trading work, and when should investors trade options? Here are 4 steps for how to get started trading options.

Feb 28, 2025 · Stock options can refer to two related yet different things. The first, known as an exchange-traded option, is an agreement that can give you the option to buy or sell stock at a …

Apr 3, 2025 · A stock option is a financial contract that gives the owner the right, but not the obligation, to buy or sell a stock at a fixed strike price by the expiration date.

Dec 12, 2024 · Options are part of an asset class known as "derivatives," which means they perform based on the movement of an underlying asset. For purposes of our discussion, we'll …

Sep 12, 2025 · Learn the basics of options trading—what calls and puts are, how options work, and strategies to hedge or speculate—with practical examples for beginners.