Investors in NVIDIA Corp (NVDA) began trading new options with an April 24 expiration today. A put contract at the $175.00 strike price offers a current bid of $8.00, which translates to a cost basis of $167.00 per share for those who sell-to-open the contract. This represents a 4% discount from the current trading price of $181.91 per share, with a 64% chance of the put expiring worthless, potentially yielding a 4.57% return on cash commitment or 33.40% annualized.
On the call side, a contract at the $185.00 strike price has a current bid of $10.15, allowing investors to sell NVDA shares at a 7.28% total return if exercised. This strike price reflects a 2% premium over the current price, with a 50% probability of expiring worthless, which could offer a 5.58% additional return or 40.77% annualized. Implied volatility for the put is 44%, and for the call, it is 42%.
Both contracts are tracked for changing probabilities and returns on platforms like Stock Options Channel.
