Vanguard Utilities Stock Options Expiring on 21st of February
| VPU Etf | USD 169.04 3.55 2.06% |
Vanguard Utilities' latest option contracts expiring on February 21st 2025 are carrying combined implied volatility of 0.21 with a put-to-call open interest ratio of 0.18 over 26 outstanding agreements suggesting investors are buying way more calls than puts on contracts expiring on February 21st 2025.
Open Interest Against February 21st 2025 Option Contracts
Vanguard Utilities option prices can potentially be used to forecast stock returns because most option chains provide information not only about the current prices but also about the future conditions in Vanguard Utilities' lending market. For example, when Vanguard Utilities' puts are not actively trading or completely missing in the marketplace, investors can use it to internalize expected shorting costs. So if an investor is writing a put option on Vanguard Utilities, he or she must hedge the risk by shorting Vanguard Utilities stock over its option's life.
2025-02-21
The chart above shows Vanguard Utilities' 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. Vanguard Utilities' open interest chart also provides vital information regarding the liquidity of an option. If there is no open interest for Vanguard Utilities' option, there is no secondary market available for investors to trade.
Vanguard Utilities Maximum Pain Price Across 2025-02-21 Option Contracts
Max pain occurs when Vanguard Utilities' market makers reach a net positive position across all Vanguard Utilities' options at a strike price where option holders stand to lose the most money. By contrast, Vanguard Utilities' option sellers may reap the most after selling more options than buying, causing them to expire worthless.
Vanguard Utilities Index In The Money Call Balance
When Vanguard Utilities' strike price is surpassing the current stock price, the option contract against Vanguard Utilities Index stock is said to be in the money. When it comes to buying Vanguard Utilities' 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 Vanguard Utilities Index 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.
Vanguard Current Options Market Mood
Vanguard Utilities' 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 Vanguard Etf'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
Most options investors, including buyers and sellers of Vanguard Utilities' calls and puts, are not very successful. It is estimated that an average options trader loses somewhere between 80% to 90% of the time. Vanguard Utilities' 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 Vanguard contract
Base on the Rule 16, the options market is currently suggesting that Vanguard Utilities Index will have an average daily up or down price movement of about 0.0131% per day over the life of the 2025-02-21 option contract. With Vanguard Utilities trading at USD 169.04, that is roughly USD 0.0222. If you think that the market is fully incorporating Vanguard Utilities' daily price movement you should consider buying Vanguard Utilities Index options at the current volatility level of 0.21%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
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Vanguard Utilities Option Chain
When Vanguard Utilities' strike price is surpassing the current stock price, the option contract against Vanguard Utilities Index 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.
Vanguard Utilities' option chain is a display of a range of information that helps investors for ways to trade options on Vanguard. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for Vanguard. It also shows strike prices and maturity days for a Vanguard Utilities 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 | Strike Price | Current Spread | Last Price | |||
Call | VPU250221C00160000 | 1 | 160.0 | 9.1 - 11.6 | 6.9 | In |
Call | VPU250221C00165000 | 6 | 165.0 | 5.4 - 7.3 | 3.0 | In |
Call | VPU250221C00167000 | 1 | 167.0 | 3.6 - 6.2 | 3.16 | In |
Call | VPU250221C00168000 | 11 | 168.0 | 3.2 - 5.3 | 3.3 | In |
Call | VPU250221C00169000 | 0 | 169.0 | 2.5 - 4.5 | 2.5 | |
Call | VPU250221C00170000 | 5 | 170.0 | 2.45 - 3.9 | 3.53 | Out |
Call | VPU250221C00171000 | 6 | 171.0 | 2.0 - 3.3 | 1.9 | Out |
Call | VPU250221C00175000 | 31 | 175.0 | 0.0 - 2.35 | 0.95 | Out |
Call | VPU250221C00180000 | 12 | 180.0 | 0.0 - 1.55 | 1.0 | Out |
Call | VPU250221C00185000 | 0 | 185.0 | 0.0 - 0.7 | 0.7 | |
Call | VPU250221C00190000 | 4 | 190.0 | 0.0 - 1.35 | 0.05 | Out |
Call | VPU250221C00195000 | 0 | 195.0 | 0.0 - 0.35 | 0.35 | |
Put | VPU250221P00160000 | 3 | 160.0 | 0.0 - 1.25 | 0.4 | Out |
Put | VPU250221P00161000 | 2 | 161.0 | 0.5 - 1.1 | 3.0 | Out |
Put | VPU250221P00165000 | 5 | 165.0 | 1.1 - 2.5 | 0.5 | Out |
Put | VPU250221P00166000 | 3 | 166.0 | 1.4 - 2.25 | 1.0 | Out |
Put | VPU250221P00167000 | 0 | 167.0 | 0.8 - 3.3 | 0.8 | |
Put | VPU250221P00168000 | 0 | 168.0 | 1.25 - 3.8 | 1.25 | |
Put | VPU250221P00169000 | 0 | 169.0 | 1.7 - 3.9 | 1.7 | |
Put | VPU250221P00170000 | 0 | 170.0 | 2.9 - 4.2 | 2.9 | In |
Put | VPU250221P00171000 | 0 | 171.0 | 2.6 - 4.6 | 2.6 | In |
Put | VPU250221P00175000 | 1 | 175.0 | 6.3 - 7.1 | 2.95 | In |
Put | VPU250221P00180000 | 0 | 180.0 | 10.0 - 11.8 | 10.0 | In |
Put | VPU250221P00185000 | 0 | 185.0 | 14.7 - 17.2 | 14.7 | In |
Put | VPU250221P00190000 | 0 | 190.0 | 19.7 - 21.5 | 19.7 | In |
Put | VPU250221P00195000 | 0 | 195.0 | 24.8 - 26.4 | 24.8 | In |
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The market value of Vanguard Utilities Index is measured differently than its book value, which is the value of Vanguard that is recorded on the company's balance sheet. Investors also form their own opinion of Vanguard Utilities' value that differs from its market value or its book value, called intrinsic value, which is Vanguard Utilities' 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 Vanguard Utilities' market value can be influenced by many factors that don't directly affect Vanguard Utilities' 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 Vanguard Utilities' value and its price as these two are different measures arrived at by different means. Investors typically determine if Vanguard Utilities is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Vanguard Utilities' 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.