strike price
noun
: an agreed-upon price at which an option contract can be exercised
called also striking price
Examples of strike price in a Sentence
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The risk is that because one is short two puts for every one held long, the holder of this position could be forced to buy the shares at that $200 strike price.
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Michael Khouw, CNBC, 17 Mar. 2025
Selling a put is an investment strategy in which the seller collects a premium and takes on the risk that they may be compelled to purchase the underlying stock at the strike price, which is generally selected below the prevailing market price.
—Michael Khouw, CNBC, 6 Feb. 2025
Selling a call is an investment strategy whereby the seller collects a premium and takes on the risk that they may be compelled to sell the underlying stock at the strike price, generally selected above the prevailing market price.
—Michael Khouw, CNBC, 6 Feb. 2025
Even the $3 billion five-year notes MicroStrategy issued in November, with their 0% coupon and strike price of $672 (80% above MicroStrategy’s current share price) are up 89% in just a few months.
—Nina Bambysheva, Forbes, 30 Jan. 2025
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Michael Khouw, CNBC, 17 Mar. 2025
Selling a put is an investment strategy in which the seller collects a premium and takes on the risk that they may be compelled to purchase the underlying stock at the strike price, which is generally selected below the prevailing market price.
—Michael Khouw, CNBC, 6 Feb. 2025
Selling a call is an investment strategy whereby the seller collects a premium and takes on the risk that they may be compelled to sell the underlying stock at the strike price, generally selected above the prevailing market price.
—Michael Khouw, CNBC, 6 Feb. 2025
Even the $3 billion five-year notes MicroStrategy issued in November, with their 0% coupon and strike price of $672 (80% above MicroStrategy’s current share price) are up 89% in just a few months.
—Nina Bambysheva, Forbes, 30 Jan. 2025
See All Example Sentences for strike price
Cite this Entry
“Strike price.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/strike%20price. Accessed 25 Mar. 2025.
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