CAH250919C00075000 Option on Cardinal Health

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 Cardinal Health 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 Cardinal Stock have intrinsic value and are priced higher than out-of-the-money options in the same chain, their volatilities are relatively smaller.

Cardinal Health's Option Greeks for the contract ending on 2025-09-19 at a strike price of 75.0 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 Cardinal Health's option greeks, its implied volatility helps estimate the risk of Cardinal Health stock implied by the prices of the options on Cardinal Health's stock.

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

By selling Cardinal Health's put option, the investors signal their bearish sentiment. A short position in a put option written on Cardinal Health will generally make money when the underlying price is above the strike price. Therefore Cardinal Health's put payoff at expiration depends on where the Cardinal Stock price is relative to the put option strike price. The breakeven price of 156.4 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 Cardinal Health's price. Finally, at the strike price of 75.0, the payoff chart is constant and positive.

Cardinal Health's option chain is a display of a range of information that helps investors for ways to trade options on Cardinal. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for Cardinal. It also shows strike prices and maturity days for a Cardinal Health 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 Trending Equities to better understand how to build diversified portfolios, which includes a position in Cardinal Health. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in nation. For more detail on how to invest in Cardinal Stock please use our How to Invest in Cardinal Health guide.You can also try the Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.

Is Health Care Providers & Services 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 Cardinal Health. If investors know Cardinal 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 Cardinal Health 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 Cardinal Health is measured differently than its book value, which is the value of Cardinal that is recorded on the company's balance sheet. Investors also form their own opinion of Cardinal Health's value that differs from its market value or its book value, called intrinsic value, which is Cardinal Health'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 Cardinal Health's market value can be influenced by many factors that don't directly affect Cardinal Health'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 Cardinal Health's value and its price as these two are different measures arrived at by different means. Investors typically determine if Cardinal Health is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Cardinal Health'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.