HRB241220P00060000 Option on HR Block
| HRB Stock | USD 56.14 0.19 0.34% |
HR Block's latest option contracts expiring on 2024-12-20 are carrying combined implied volatility of 0.76 with a put-to-call open interest ratio of 0.5 over 12 outstanding agreements suggesting investors are buying more calls than puts on contracts expiring on 2024-12-20. The total put volume is at 140, with calls trading at the volume of 140. This yields a 1.65 put-to-call volume ratio.
Open Interest Against 2024-12-20 Option Contracts
2024-12-20
The chart above shows HR Block's distribution of open interest by maturity on contracts that have not yet been settled. The area between the two highest points is the projection of the price at expiration. HR Block's open interest chart also provides vital information regarding the liquidity of an option. If there is no open interest for HR Block's option, there is no secondary market available for investors to trade.
In The Money vs. Out of Money Option Contracts on HR Block
Analyzing HR Block's in-the-money options over time can help investors to take a profitable long position in HR Block regardless of its overall volatility. This is especially true when HR Block's options are deep in the money. These options can be identified using deltas that are over 0.75. Deep in-the-money HR Block's options could be used as guardians of the underlying stock as they move almost dollar for dollar with HR Block's stock while costing only a fraction of its price.
HR Block's stock options are financial instruments that give investors the right to buy or sell shares of HR Block common stock at a specified price for a given time period. Generally speaking, an option to purchase or sell HRB stock makes it part of the underlying stock when the option's price is tied to the movement of the underlying stock. If HR Block's stock price goes up or down, the stock options follow.
At present, HR Block's Common Stock Shares Outstanding is projected to decrease significantly based on the last few years of reporting. The current year's Liabilities And Stockholders Equity is expected to grow to about 3.7 B, whereas Total Stockholder Equity is forecasted to decline to about 86.1 M. HR Block In The Money Call Balance
When HR Block's strike price is surpassing the current stock price, the option contract against HR Block stock is said to be in the money. When it comes to buying HR Block's options that are 'In the Money' or 'Out of the Money', the choice depends on your outlook for the underlying security, financial situation, and what you are trying to achieve.
While 'out-of-the-money' option contracts written on HR Block are typically viewed as the more aggressive, there are potential upsides to purchasing these types of options contracts. For one, the cost to buy an 'Out of the Money' option is lower than the cost to buy an 'In the Money' option. This cost-benefit is due to the fact that at the time of the purchase, 'Out of the Money' contracts have no intrinsic value. So, while the potential for a 100% loss is more significant, the cost and risk to enter the trade are lower.
HRB Current Options Market Mood
HR Block's open interest and total value indicators provide investors with the necessary information to digest the overall options buildup for its expiring contracts. In addition, it helps HRB Stock's traders understand whether a recent fall or rise in the market is unreasonable and if the time has come to take contrarian positions. These ratios are calculated based on options trading volumes and current open interest.
Put-to-Call Open Interest
Put-to-Call Volume
Unfortunately, most HR Block's options investors are not very successful. HR Block's option open interest and volume spread between outstanding puts and calls are regarded by many investors as reliable indicators of the overall future market direction.
Rule 16 of the current HRB contract
Base on the Rule 16, the options market is currently suggesting that HR Block will have an average daily up or down price movement of about 0.0475% per day over the life of the 2024-12-20 option contract. With HR Block trading at USD 56.14, that is roughly USD 0.0267. If you think that the market is fully incorporating HR Block's daily price movement you should consider buying HR Block options at the current volatility level of 0.76%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
HRB |
Purchasing HR Block options can give investors a meaningful hedge against losses and, therefore, could be used conservatively to decrease the volatility of your portfolio. However, many options could also amount to little more than gambling, significantly enhancing your overall portfolio risk. One simple example of these aggressive strategies is the sale of "uncovered" HRB calls. Remember, the seller must deliver HR Block stock to the call owner when a call is exercised.
HR Block Option Chain
When HR Block's strike price is surpassing the current stock price, the option contract against HR Block stock is said to be in the money. When it comes to buying options that are ITM or OTM, the choice depends on your outlook for the underlying security, financial situation, and what you are trying to achieve.
HR Block's option chain is a display of a range of information that helps investors for ways to trade options on HRB. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for HRB. It also shows strike prices and maturity days for a HR Block 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. | Open Int | Expiration | Current Spread | Last Price | |||
Call | HRB Option Call 20-12-2024 50 | 5 | 2024-12-20 | 5.5 - 6.9 | 7.5 | In |
Call | HRB Option Call 20-12-2024 55 | 266 | 2024-12-20 | 1.85 - 2.0 | 2.0 | In |
Call | HRB Option Call 20-12-2024 60 | 1180 | 2024-12-20 | 0.0 - 0.15 | 0.08 | Out |
Call | HRB Option Call 20-12-2024 65 | 530 | 2024-12-20 | 0.0 - 0.25 | 0.05 | Out |
Call | HRB Option Call 20-12-2024 70 | 140 | 2024-12-20 | 0.0 - 0.05 | 0.05 | Out |
Call | HRB Option Call 20-12-2024 75 | 9 | 2024-12-20 | 0.0 - 0.75 | 0.2 | Out |
Put | HRB Option Put 20-12-2024 45 | 128 | 2024-12-20 | 0.0 - 0.5 | 0.2 | Out |
Put | HRB Option Put 20-12-2024 50 | 46 | 2024-12-20 | 0.0 - 0.15 | 0.13 | Out |
Put | HRB Option Put 20-12-2024 55 | 697 | 2024-12-20 | 0.4 - 0.55 | 0.64 | Out |
Put | HRB Option Put 20-12-2024 60 | 200 | 2024-12-20 | 3.1 - 4.1 | 4.6 | In |
Put | HRB Option Put 20-12-2024 65 | 1 | 2024-12-20 | 6.6 - 10.6 | 7.37 | In |
Put | HRB Option Put 20-12-2024 80 | 0 | 2024-12-20 | 21.6 - 25.5 | 22.45 | In |
HR Block Selling And Marketing Expenses Over Time
Selling And Marketing Expenses |
| Timeline |
HRB Total Stockholder Equity
Total Stockholder Equity |
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HR Block Corporate Directors
| Paul Brown | Independent Director | Profile | |
| Sean Cohan | Independent Director | Profile | |
| Richard Johnson | Independent Director | Profile | |
| Christianna Wood | Independent Director | Profile |
Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in HR Block. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area. For information on how to trade HRB Stock refer to our How to Trade HRB Stock guide.You can also try the ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
Is Diversified Consumer 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 HR Block. If investors know HRB 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 HR Block listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.08) | Dividend Share 1.335 | Earnings Share 4.02 | Revenue Per Share 25.832 | Quarterly Revenue Growth 0.054 |
The market value of HR Block is measured differently than its book value, which is the value of HRB that is recorded on the company's balance sheet. Investors also form their own opinion of HR Block's value that differs from its market value or its book value, called intrinsic value, which is HR Block'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 HR Block's market value can be influenced by many factors that don't directly affect HR Block'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 HR Block's value and its price as these two are different measures arrived at by different means. Investors typically determine if HR Block is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, HR Block'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.