Options Profit Calculator
Pick a strategy, enter the strikes, premiums and number of contracts, and see the profit or loss at expiration: P/L at your target price, maximum profit, maximum loss, break-even, return on risk, a payoff chart and a price table. Commissions and the 100-share contract multiplier are included.
Your trade Example values Replace them with your own numbers. Prices are per share, as options are quoted. Any currency works if all inputs use the same one.
- P/L at expiration
- Price now
- Target
- Break-even
P/L at expiration across prices
| Price at expiration | Change vs now | P/L per share (before commission) | Total P/L | Return on max risk |
|---|
At expiration only. Every figure assumes the position is held to expiration, when each option is worth only its intrinsic value. No Black-Scholes model, no time value, no implied volatility. If you close the trade early, the result will differ. Short American-style options can also be assigned before expiration (see below).
Everything runs in your browser. Nothing is saved or sent.
How the options profit calculator works
- Value at expiration. A call is worth max(S − K, 0) per share and a put max(K − S, 0), where S is the stock price at expiration and K the strike.
- P/L per share. For each option you buy: value − premium paid. For each option you sell: premium received − value. Covered calls add the stock’s gain or loss, S − purchase price.
- Shares controlled. Contracts × multiplier. A standard equity option uses 100.
- Commissions. Commission per contract × contracts × number of option legs (1 for single options, 2 for spreads). Subtracted once, for opening the trade.
- Total P/L = P/L per share × shares controlled − commissions.
- Max profit, max loss and break-even come from the same P/L line, checked at a price of 0, at each strike and as the price rises without limit.
Formulas by strategy (per share, before commissions)
K = strike, P = premium, S = price at expiration, S₀ = stock purchase price. For spreads, K₁ and P₁ are the option you buy, K₂ and P₂ the option you sell, and D = P₁ − P₂ is the net debit.
| Strategy | P/L at expiration | Max profit | Max loss | Break-even |
|---|---|---|---|---|
| Long call | max(S − K, 0) − P | Unlimited | P | K + P |
| Long put | max(K − S, 0) − P | K − P (stock at 0) | P | K − P |
| Covered call | S − S₀ + P − max(S − K, 0) | K − S₀ + P | S₀ − P (stock at 0) | S₀ − P |
| Cash-secured put | P − max(K − S, 0) | P | K − P (stock at 0) | K − P |
| Bull call spread | max(S − K₁, 0) − max(S − K₂, 0) − D | K₂ − K₁ − D | D | K₁ + D |
| Bear put spread | max(K₁ − S, 0) − max(K₂ − S, 0) − D | K₁ − K₂ − D | D | K₁ − D |
These match the Options Industry Council (OIC) strategy pages: long call (“Breakeven = strike + premium”), long put (“Breakeven = strike – premium”), covered call (maximum gain “Strike price - stock purchase price + premium received”, maximum loss “Stock purchase price - premium received (substantial)”), cash-secured put (maximum gain “Premium received”, maximum loss “Strike price - premium received (substantial)”), bull call spread (“Breakeven = long call strike + net debit paid”) and bear put spread (“Breakeven = long put strike - net debit paid”). With commissions, each break-even moves by total commissions ÷ shares, against you.
The contract multiplier: why 1 contract costs 100 times the quote
Option premiums are quoted per share. The SEC’s Investor Bulletin: An Introduction to Options explains: “An option contract generally represents 100 shares of the underlying stock. In this case, a premium of $2.20 represents a payment of $220 per option contract ($2.20 x 100 shares).” The same bulletin works out the break-even of that call: with a $70 strike and a $2.20 premium, “the price of ABC would need to rise to $72.20 in order for you to break even”. Enter 2.20 and 70 as a long call and the calculator gives the same 72.20 before commissions.
Index options use a multiplier too. Cboe’s SPX option specifications list a multiplier of 100. The bulletin says “generally” for a reason: change the multiplier field only if your contract’s terms, as shown by your broker, specify a different number of shares.
At expiration vs before expiration
This calculator answers one question: what is the trade worth on expiration day? At that moment an option has no time left, so it is worth only its intrinsic value and the P/L lines are straight segments that bend at the strikes.
Before expiration, an option also carries time value. Investor.gov lists what sets the premium: “(i) the underlying stock price in relation to the strike price, (ii) the length of time until the option contract expires, and (iii) the price volatility of the underlying stock.” Estimating the price on a date before expiration needs a pricing model such as Black-Scholes and a volatility guess. This page does not do that, on purpose: the expiration math is exact, while a model price is only as good as its volatility input. If you plan to sell before expiration, treat these numbers as the end-point, not the path.
Early exercise and assignment
Standard US equity options are American-style. FINRA’s options overview says the holder “can exercise it at any time between the date of purchase and the expiration date”, while “Index options generally trade ‘European-style,’ which means the settlement process is done at expiration only”. For the seller, OIC’s Exercising Options page states that “an option writer may be assigned an exercise notice on a short option position at any time before expiration.”
- Covered calls and bull call spreads. A short call is most at risk of early assignment just before the stock goes ex-dividend. OIC notes for the bull call spread that early assignment “generally occurs only when the stock goes ex-dividend.” If assigned, you deliver the shares (covered call) or end up short stock for a day before exercising your long call (spread).
- Cash-secured puts and bear put spreads. For the bear put spread, OIC says early assignment “generally occurs only when a put option goes deep into-the-money.” A cash-secured put writer then buys the shares at the strike, which is the plan anyway.
- Long options. FINRA notes that in-the-money equity options “will automatically be exercised at expiration”. For a call, the money to buy the shares is then due. Sell the option before expiration if you do not want the stock.
- Pin risk. OIC warns that some writers “are assigned on short contracts when they expire exactly at-the-money or even out-of-the money.” The calculator assumes no option is exercised unless it is in the money.
Early assignment changes the timing and the cash flows, not the intrinsic value math. The max loss shown for a spread still holds if you exercise your long leg or close it, but you may need margin for a day and you lose any time value left in the long option.
Worked examples (fictional numbers)
1. Long call (the default example)
- Stock at 100. Buy 2 calls with a 105 strike for 3.20 each. Shares controlled = 2 × 100 = 200. Commission = 0.65 × 2 = 1.30.
- Cost = 3.20 × 200 + 1.30 = 641.30. That is also the max loss, if the stock ends at or below 105.
- Break-even = 105 + 3.20 + 1.30 ÷ 200 = 108.21.
- Stock at 115 at expiration: each call is worth 10. P/L = (10 − 3.20) × 200 − 1.30 = +1,358.70, a return on max risk of 211.87%.
2. Covered call
- Own 200 shares bought at 100. Sell 2 calls with a 110 strike for 2.10. Commission 1.30.
- Max profit, reached at 110 or higher = (110 − 100 + 2.10) × 200 − 1.30 = +2,418.70. Above 110 the shares are called away, so a stock at 130 earns the same.
- Break-even = 100 − 2.10 + 1.30 ÷ 200 = 97.91. Max loss, if the stock goes to 0 = (100 − 2.10) × 200 + 1.30 = 19,581.30.
- Return on max risk at 115 = 2,418.70 ÷ 19,581.30 = 12.35%. The premium cushions a small drop. It does not protect against a large one.
3. Cash-secured put
- Stock at 100. Sell 2 puts with a 95 strike for 2.40 and set aside 95 × 200 = 19,000 in cash. Commission 1.30.
- Max profit, if the stock ends at or above 95 = 2.40 × 200 − 1.30 = +478.70, or 2.52% of the cash set aside.
- Break-even = 95 − 2.40 + 1.30 ÷ 200 = 92.61.
- Stock at 90 at expiration: you buy 200 shares at 95 that are worth 90. P/L = (2.40 − 5) × 200 − 1.30 = −521.30.
4. Bull call spread
- Buy 2 calls with a 100 strike for 4.50 and sell 2 calls with a 110 strike for 1.60. Net debit D = 2.90. Commission = 0.65 × 2 contracts × 2 legs = 2.60.
- Max loss = 2.90 × 200 + 2.60 = 582.60, if the stock ends at or below 100.
- Max profit = (110 − 100 − 2.90) × 200 − 2.60 = +1,417.40, at 110 or higher. Return on max risk = 243.29%.
- Break-even = 100 + 2.90 + 2.60 ÷ 200 = 102.91. Compare a plain 100 call bought for 4.50: no cap on profit, but 900 + 1.30 at risk and a break-even of 104.51.
Limits of this calculator
- Expiration only. No time value, volatility or Greeks. P/L before expiration will differ.
- One expiration, standard legs. No calendars, diagonals, iron condors, straddles or custom legs.
- Opening commissions only. Closing, exercise and assignment fees and the stock commission in a covered call are not included. Add them to the commission field per contract if you want an all-in figure.
- No dividends, interest, margin or taxes. A covered call owner keeps dividends unless assigned before the ex-date. Cash set aside for a put may earn interest. Neither is counted.
- Bid-ask spread. Use the prices you actually traded at, not the last trade or the midpoint.
- No predictions. The P/L at a target price is arithmetic for a price you choose. It says nothing about how likely that price is.
FINRA reminds investors that options “offer leverage, meaning the ability to magnify the value or purchasing power of the premium you pay—but leverage can come with the risk of significant losses.” Before trading, read the Characteristics and Risks of Standardized Options disclosure your broker provides.
FAQ
How do you calculate profit on an option?
At expiration, a call is worth max(stock price − strike, 0) per share and a put is worth max(strike − stock price, 0). Profit per share for a buyer is that value minus the premium paid. Multiply by 100 shares per standard contract and by the number of contracts, then subtract commissions. Example: 2 calls with a 105 strike bought for 3.20, stock at 115 at expiration: (10 − 3.20) × 100 × 2 = 1,360, minus 1.30 commission = 1,358.70.
What is the break-even price of an option?
For a long call, break-even at expiration = strike + premium. For a long put, break-even = strike − premium. The Options Industry Council gives both formulas. Commissions move it a little further: add total commission ÷ (contracts × 100) to a call’s break-even and subtract it from a put’s. A 105 call bought for 3.20 breaks even at 108.20, or 108.21 with 1.30 of commission on 2 contracts.
Why does an options contract cost 100 times the premium?
Option prices are quoted per share, and a standard equity option contract generally represents 100 shares. Investor.gov’s example: a premium of $2.20 represents a payment of $220 per contract ($2.20 × 100 shares). The 100 is called the contract multiplier. Investor.gov says a contract generally represents 100 shares, not always, so check the contract terms with your broker if a quote looks unusual.
Does this calculator show profit before expiration?
No. It shows profit or loss at expiration only, when an option is worth its intrinsic value and has no time value left. Before expiration, an option’s price also depends on the time left and the volatility of the stock, so selling early gives a different result. Calculators that show P/L before expiration use a pricing model such as Black-Scholes plus an implied volatility input.
What is the maximum loss on a covered call?
The maximum loss is the stock purchase price minus the premium received, per share, which happens if the stock falls to zero. The Options Industry Council lists it as “Stock purchase price - premium received (substantial)”. With stock bought at 100 and a call sold for 2.10, the most you can lose is 97.90 per share, or 9,790 per contract before commissions.
Can a short option be assigned before expiration?
Yes, if it is American-style, as standard US equity options are. The Options Industry Council says an option writer “may be assigned an exercise notice on a short option position at any time before expiration.” Early assignment is most common just before a stock goes ex-dividend for short calls and when a put is deep in the money. Index options generally trade European-style and can be exercised only at expiration.
Related tools and templates
- Options trading tracker
Log each options trade, premium and result. - Covered call tracker
Track premiums, assignments and cost basis. - Options trading journal
Record why you entered and how you managed it. - Risk-reward calculator
Compare potential gain with potential loss. - Position size calculator
Size a trade from the amount you can risk. - ROI calculator
Return and annualized return after fees.
Educational tool only, not financial or investment advice. Results are at-expiration arithmetic for the prices you enter. They ignore time value, early assignment, dividends, closing fees, margin and taxes, and they do not predict prices. Options involve risk and are not suitable for all investors. Sources: Investor.gov, An Introduction to Options, FINRA, Options, OIC, Exercising Options, OIC strategy pages linked above, Cboe, SPX option specifications. Retrieved 31 Oct 2026.