New Option Contracts for Merck: Opportunities for Investors

Today, investors in Merck & Co Inc (Symbol: MRK) saw the launch of new options contracts set to expire in June 2026. With 464 days remaining until expiration, these fresh contracts present an opportunity for those selling puts or calls to potentially secure a higher premium compared to contracts with shorter time frames. Our YieldBoost formula at Stock Options Channel has identified a noteworthy put and call contract within the new June 2026 options chain.

Put Contract Analysis

The put contract with a $90.00 strike price currently has a bid of $8.60. If an investor sells-to-open this put, they commit to buying MRK shares at $90.00 and will also receive the premium, lowering their effective cost basis to $81.40 (excluding brokerage fees). For those planning to buy MRK shares, this could be an appealing alternative to the current market price of $94.28 per share.

It’s important to note that the $90.00 strike represents a roughly 5% discount to MRK’s current trading price, placing it out-of-the-money by that percentage. Current analytics indicate that there is a 63% chance the put could expire worthless. Stock Options Channel will track these probabilities over time, displaying changes on our website under the contract detail page. If the put expires worthless, the premium would yield a return of 9.56% on the cash commitment, translating to an annualized return of 7.52%, which we term the YieldBoost.

Trading History Chart

Below is the chart depicting the trailing twelve-month trading history for Merck & Co Inc, with the $90.00 strike highlighted in green:

Call Contract Opportunities

Switching focus to calls, the contract at a $95.00 strike price has a current bid of $10.45. If an investor buys MRK shares at the present price of $94.28 and sells-to-open that call as a covered call, they would be agreeing to sell their shares at $95.00. With the premium included, this could yield a total return of 11.85% if the stock is called away at the June 2026 expiration (before broker commissions). However, this strategy could forfeit some potential upside if MRK shares increase significantly, making it essential to review the shares’ historical performance and business fundamentals.

Below is a chart showing MRK’s trailing twelve-month trading history, with the $95.00 strike marked in red:

The $95.00 strike price is approximately 1% above the current market price, marking it out-of-the-money by that percentage. Thus, the covered call could also expire worthless, allowing the investor to retain both the shares and the premium. Current data suggests there is a 44% probability of this occurring. Stock Options Channel will monitor these metrics over time, updating charts on our website. If the covered call contract does expire worthless, the premium could provide an additional return of 11.08%, or 8.72% annualized, which we also refer to as the YieldBoost.

Volatility Insights

The implied volatility for both the put and call contracts is approximately 28%. In contrast, the actual trailing twelve-month volatility, based on the last 250 trading days and today’s price of $94.28, is calculated at 24%. For a broader range of put and call options worth considering, please visit Stock Options Channel.

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also see:

• ITCI Insider Buying
• LLEX Historical Stock Prices
• INGN Options Chain

The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.