BHP251121C00045000 Option on BHP Group Limited

An 'In The Money' option is one with a strike price that the current stock price has already surpassed. Some options investors can hedge their BHP Group positions using in-the-money options. They may also want to buy options with some intrinsic value, not just time value. However, because in-the-money options on BHP Stock have intrinsic value and are priced higher than out-of-the-money options in the same chain, their volatilities are relatively smaller.

BHP Group's Option Greeks for the contract ending on 2025-11-21 at a strike price of 45.0 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 BHP Group's option greeks, its implied volatility helps estimate the risk of BHP Group stock implied by the prices of the options on BHP Group's stock.

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

By selling BHP Group's put option, the investors signal their bearish sentiment. A short position in a put option written on BHP Group will generally make money when the underlying price is above the strike price. Therefore BHP Group's put payoff at expiration depends on where the BHP Stock price is relative to the put option strike price. The breakeven price of 53.2 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 BHP Group's price. Finally, at the strike price of 45.0, the payoff chart is constant and positive.

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