Basics
At-The-Money (ATM)
Strike price equals current stock price
What is At-The-Money (ATM)?
At-The-Money (ATM) An option whose strike price is equal to (or very close to) the current price of the underlying asset. ATM options have the highest time value and typically a delta around 0.50.
Complete Definition
An option whose strike price is equal to (or very close to) the current price of the underlying asset. ATM options have the highest time value and typically a delta around 0.50.
Example
AAPL trades at $150. The $150 strike call is at-the-money.
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