EGY250815C00004000 Option on Vaalco Energy

An 'Out of The Money' option on Vaalco has a strike price that Vaalco 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 Vaalco Energy's 'Out of The Money' options include buying the options if you expect a big move in Vaalco Energy'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.

Vaalco Energy's Option Greeks for the contract ending on 2025-08-15 at a strike price of 4.0 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 Vaalco Energy's option greeks, its implied volatility helps estimate the risk of Vaalco Energy stock implied by the prices of the options on Vaalco Energy's stock.

Put options written on Vaalco Energy grant holders of the option the right to sell a specified amount of Vaalco Energy 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 Vaalco Stock cannot fall below zero, the put buyer does gain as the price drops. So, purchasing a put option on Vaalco Energy is like buying insurance aginst Vaalco Energy's downside shift.

By selling Vaalco Energy's put option, the investors signal their bearish sentiment. A short position in a put option written on Vaalco Energy will generally make money when the underlying price is above the strike price. Therefore Vaalco Energy's put payoff at expiration depends on where the Vaalco Stock price is relative to the put option strike price. The breakeven price of 4.1 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 Vaalco Energy's price. Finally, at the strike price of 4.0, the payoff chart is constant and positive.

Vaalco Energy's option chain is a display of a range of information that helps investors for ways to trade options on Vaalco. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for Vaalco. It also shows strike prices and maturity days for a Vaalco Energy 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 Vaalco Energy's price analysis, check to measure Vaalco Energy'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 Vaalco Energy is operating at the current time. Most of Vaalco Energy's value examination focuses on studying past and present price action to predict the probability of Vaalco Energy's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Vaalco Energy's price. Additionally, you may evaluate how the addition of Vaalco Energy to your portfolios can decrease your overall portfolio volatility.