ODFL251017P00140000 Option on Old Dominion Freight

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

Old Dominion's Option Greeks for the contract ending on 2025-10-17 at a strike price of 140.0 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 Old Dominion's option greeks, its implied volatility helps estimate the risk of Old Dominion stock implied by the prices of the options on Old Dominion's stock.

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

By selling Old Dominion's put option, the investors signal their bearish sentiment. A short position in a put option written on Old Dominion will generally make money when the underlying price is above the strike price. Therefore Old Dominion's put payoff at expiration depends on where the Old Stock price is relative to the put option strike price. The breakeven price of 134.87 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 Old Dominion's price. Finally, at the strike price of 140.0, the payoff chart is constant and positive.

Old Dominion's option chain is a display of a range of information that helps investors for ways to trade options on Old. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for Old. It also shows strike prices and maturity days for a Old Dominion 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.

Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Old Dominion Freight. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in census. You can also try the Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.

Is Cargo Ground Transportation space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Old Dominion. If investors know Old will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Old Dominion listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.

The market value of Old Dominion Freight is measured differently than its book value, which is the value of Old that is recorded on the company's balance sheet. Investors also form their own opinion of Old Dominion's value that differs from its market value or its book value, called intrinsic value, which is Old Dominion's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Old Dominion's market value can be influenced by many factors that don't directly affect Old Dominion's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.

Please note, there is a significant difference between Old Dominion's value and its price as these two are different measures arrived at by different means. Investors typically determine if Old Dominion is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Old Dominion's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.