Basics

Put Option

By Ryan Silk & Lawrence Polatchek · Reviewed April 2026 · Options Trading Glossary

Right to sell shares at strike price

What is Put Option?

Put Option A contract giving the holder the right to sell 100 shares at the strike price before expiration. Put buyers are bearish; put sellers are neutral to bullish.

Complete Definition

A contract giving the holder the right to sell 100 shares at the strike price before expiration. Put buyers are bearish; put sellers are neutral to bullish.

Example

Buy AAPL $150 put for $3. If AAPL drops to $140, your put is worth at least $10 (intrinsic value).

AV
Written by
ApexVol Research Team
Quantitative options research
All calculations use live ORATS institutional data — the same source used by professional volatility desks.
RS
Technical reviewer
Ryan Silk, ApexVol Founder
Reviewed for technical accuracy
10+ years trading options. Built ApexVol's pricing engine, Greeks model, and IV-rank methodology.
This guide is updated as market conditions and ORATS data change. Last revised 2026-05-12. How we research →

Want to Learn More?

Explore our educational resources and analytics tools to deepen your understanding.

7 days free, cancel anytime No charge if you cancel
Start trial →