Futures & options
What the option would be worth if expiry were now. Zero for out-of-the-money options.
Call: max(0, Underlying − Strike). Put: max(0, Strike − Underlying)
With Nifty at 24,200, the 24,000 call has an intrinsic value of 200 points. If it trades at 260, the remaining 60 points are time value.
What the option would be worth if expiry were now. Zero for out-of-the-money options.
Call: max(0, Underlying − Strike). Put: max(0, Strike − Underlying). With Nifty at 24,200, the 24,000 call has an intrinsic value of 200 points. If it trades at 260, the remaining 60 points are time value.
No. Intrinsic value describes one aspect of a company, a price or a contract, and it is best read alongside other numbers and the business itself. Jivani Markets is a research and education platform; it does not give buy, sell or hold recommendations.