AAP250919P00030000 Option on Advance Auto Parts

An 'Out of The Money' option on Advance has a strike price that Advance Stock has yet to reach, meaning the option has no intrinsic value. 'Out of The Money' options are usually less costly than 'In The Money' options, making them more desirable to traders with smaller amounts of capital. Some of the uses for Advance Auto's 'Out of The Money' options include buying the options if you expect a big move in Advance Auto's stock. Since 'Out of The Money' options have a lower up-front cost (i.e., no intrinsic value) than 'In The Money' options, buying it is a reasonable choice.

Advance Auto's Option Greeks for the contract ending on 2025-09-19 at a strike price of 30.0 measures the various factors that affect its cost and calculated using a theoretical options pricing model. It helps investors make more informed decisions about whether to trade this option contract or when to trade it. In addition to Advance Auto's option greeks, its implied volatility helps estimate the risk of Advance Auto stock implied by the prices of the options on Advance Auto's stock.

Put options written on Advance Auto grant holders of the option the right to sell a specified amount of Advance Auto at a specified price within a specified time frame. The put buyer has a limited loss and, while not fully unlimited gains, as the price of Advance Stock cannot fall below zero, the put buyer does gain as the price drops. So, purchasing a put option on Advance Auto is like buying insurance aginst Advance Auto's downside shift.

By selling Advance Auto's put option, the investors signal their bearish sentiment. A short position in a put option written on Advance Auto will generally make money when the underlying price is above the strike price. Therefore Advance Auto's put payoff at expiration depends on where the Advance Stock price is relative to the put option strike price. The breakeven price of 29.9 is the critical point that divides the payoff function into two parts. Below the breakeven price, the payoff is dropping and negative (the seller makes a loss). Above the breakeven price, the payoff line is upward sloping as the option payoff increases in proportion to Advance Auto's price. Finally, at the strike price of 30.0, the payoff chart is constant and positive.

Advance Auto's option chain is a display of a range of information that helps investors for ways to trade options on Advance. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for Advance. It also shows strike prices and maturity days for a Advance Auto against a given expiration period. The table below combines all the option information in the form of a chain but before you use it, remember that it entails significant risk and it is not for everyone.

When running Advance Auto's price analysis, check to measure Advance Auto's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Advance Auto is operating at the current time. Most of Advance Auto's value examination focuses on studying past and present price action to predict the probability of Advance Auto's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Advance Auto's price. Additionally, you may evaluate how the addition of Advance Auto to your portfolios can decrease your overall portfolio volatility.