Strike Price

Business / Taxes / Strike Price: The strike price, also called the exercise price, is the price at which you as an options holder can buy or sell the stock or other financial instrument underlying the options contract if you choose to exercise before expiration. While the strike price is set by the exchange on which the option trades, and changes only if there’s a stock split, merger, or some other corporate action that affects the underlying instrument, the market price of the underlying instrument rises and falls during the life of the contract. As a result, the underlying instrument might reach a price that would put the strike price in-the-money and make exercising the option at the strike price, or selling the option in the marketplace financially advantageous, or it might not. If not, you let the option expire.

Other Words for Price

Price Verb Synonyms: sacrifice, toll, penalty, cost, consequence
Price Noun Synonyms: charge, cost, expense, expenditure, outlay, payment, amount, figure, fee, quotation, appraisal, value, valuation, evaluation, worth
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Other Words for Strike

Strike Noun Synonyms: hit, deal a blow to, knock, smack, thump, thwack, crown, cuff, punch, smite, beat, hammer, belabour, batter, pummel or pommel, pelt, buffet, thrash, cudgel, bludgeon, club, whip, horsewhip, scourge, lash, cane, flog, birch, slap, wallop, slug, whac
Strike Adjective Synonyms: deliver, deal, aim, direct
Strike Verb Synonyms: light, ignite
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Exercise Price

Business / Finance / Exercise Price: A broker's notification a client want to exercise a right to buy or sell (depending on the type of contract) the underlying security of the option contract. MORE

Price-Book Ratio

Business / Finance / Price-Book Ratio: Compares a stock's market value to the value of total assets less total liabilities (book value). Determined by dividing current stock price by common stockholder equity per share (book value), adjust MORE

Price-Earnings Ratio

Business / Finance / Price-Earnings Ratio: Shows the multiple of earnings at which a stock sells. Determined by dividing current stock price by current earnings per share (adjusted for stock splits). Earnings per share for the P/E ratio are de MORE

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