CF240524C00064000 Option on CF Industries Holdings
| CF Stock | USD 77.69 0.17 0.22% |
CF Industries' latest option contracts expiring on 2024-06-14 are carrying combined implied volatility of 40.46 with a put-to-call open interest ratio of 1.7 over 80 outstanding agreements suggesting investors are buying way more puts than calls on contracts expiring on 2024-06-14. The current put volume is at 481, with calls trading at the volume of 207. This yields a 2.32 put-to-call volume ratio.
Open Interest Against 2024-06-14 Option Contracts
2024-06-14
The chart above shows CF Industries' 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. CF Industries' open interest chart also provides vital information regarding the liquidity of an option. If there is no open interest for CF Industries' option, there is no secondary market available for investors to trade.
CF Industries Maximum Pain Price across 2024-06-14 Option Contracts
Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of particular securities such as CF Industries close to expiration to expire worthless. According to most research, approximately 10% to 15% of all stock options are exercised, while about 35% expire worthlessly, with roughly 50% traded out before the expiration date. So, Max pain occurs when market makers reach a net positive position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthless.
CF Industries' option chain provides insight into all available option contracts written on CF Industries' stock. Investors can see outstanding put and call contracts with pricing information and greeks for a given expiration period. In addition, each of CF Industries' stock options below provides a detailed picture of the payoff. Comparing vital and dynamic information of various option contracts across diverse expiration periods will help you make an educated decision on your market timing strategies around investing in a given CF Industries option contract.
In The Money vs. Out of Money Option Contracts on CF Industries
Analyzing CF Industries' in-the-money options over time can help investors to take a profitable long position in CF Industries regardless of its overall volatility. This is especially true when CF Industries' options are deep in the money. These options can be identified using deltas that are over 0.75. Deep in-the-money CF Industries' options could be used as guardians of the underlying stock as they move almost dollar for dollar with CF Industries' stock while costing only a fraction of its price.
CF Industries' stock options are financial instruments that give investors the right to buy or sell shares of CF Industries Holdings common stock at a specified price for a given time period. Generally speaking, an option to purchase or sell CF Industries stock makes it part of the underlying stock when the option's price is tied to the movement of the underlying stock. If CF Industries' stock price goes up or down, the stock options follow.
The CF Industries' current Common Stock Shares Outstanding is estimated to increase to about 208.8 M, while Total Stockholder Equity is projected to decrease to roughly 3.3 B. CF Industries Holdings In The Money Call Balance
When CF Industries' strike price is surpassing the current stock price, the option contract against CF Industries Holdings stock is said to be in the money. When it comes to buying CF Industries' 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 CF Industries Holdings 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.
CF Industries Current Options Market Mood
CF Industries' 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 CF Industries 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
Most options investors, including buyers and sellers of CF Industries' calls and puts, are not very successful. It is estimated that an average options trader loses somewhere between 80% to 90% of the time. CF Industries' 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. Using current CF Industries' option volume and open interest to make an investment decision is considered a contrarian-sentiment measure that can be utilized in many timing strategies in both derivative and spot marketplace.
Rule 16 of the current CF Industries contract
Base on the Rule 16, the options market is currently suggesting that CF Industries Holdings will have an average daily up or down price movement of about 2.53% per day over the life of the 2024-06-14 option contract. With CF Industries trading at USD 77.69, that is roughly USD 1.96. If you think that the market is fully incorporating CF Industries' daily price movement you should consider buying CF Industries Holdings options at the current volatility level of 40.46%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
CF Industries |
Purchasing CF Industries 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" CF Industries calls. Remember, the seller must deliver CF Industries Holdings stock to the call owner when a call is exercised.
CF Industries Option Chain
When CF Industries' strike price is surpassing the current stock price, the option contract against CF Industries Holdings 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.
2024-06-142024-06-212024-06-282024-07-052024-07-122024-07-192024-07-262024-08-162024-11-152025-01-172025-06-202026-01-16
CF Industries' option chain is a display of a range of information that helps investors for ways to trade options on CF Industries. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for CF Industries. It also shows strike prices and maturity days for a CF Industries 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. | Delta | Gamma | Open Int | Expiration | Current Spread | Last Price | |||
Call | 2024-06-14 CALL at $45.0 | 0.9661 | 0.0029 | 0 | 2024-06-14 | 31.7 - 34.8 | 0.0 | In |
Call | 2024-06-14 CALL at $50.0 | 0.9534 | 0.0043 | 0 | 2024-06-14 | 26.7 - 30.0 | 0.0 | In |
Call | 2024-06-14 CALL at $55.0 | 0.9609 | 0.0051 | 0 | 2024-06-14 | 22.0 - 24.3 | 0.0 | In |
Call | 2024-06-14 CALL at $60.0 | 0.9648 | 0.0066 | 0 | 2024-06-14 | 16.8 - 19.3 | 0.0 | In |
Call | 2024-06-14 CALL at $62.0 | 0.9158 | 0.0112 | 0 | 2024-06-14 | 15.0 - 17.9 | 0.0 | In |
Call | 2024-06-14 CALL at $63.0 | 0.938 | 0.0108 | 0 | 2024-06-14 | 13.1 - 17.3 | 0.0 | In |
Call | 2024-06-14 CALL at $64.0 | 0.8444 | 0.0141 | 0 | 2024-06-14 | 12.1 - 15.4 | 0.0 | In |
Call | 2024-06-14 CALL at $65.0 | 0.8529 | 0.0156 | 0 | 2024-06-14 | 11.3 - 14.1 | 0.0 | In |
Call | 2024-06-14 CALL at $66.0 | 0.9134 | 0.0158 | 0 | 2024-06-14 | 10.9 - 13.7 | 0.0 | In |
Call | 2024-06-14 CALL at $67.0 | 0.8956 | 0.0184 | 0 | 2024-06-14 | 9.5 - 11.4 | 0.0 | In |
Call | 2024-06-14 CALL at $68.0 | 0.9569 | 0.0144 | 0 | 2024-06-14 | 9.8 - 10.2 | 0.0 | In |
Call | 2024-06-14 CALL at $69.0 | 0.8688 | 0.024 | 0 | 2024-06-14 | 7.7 - 9.5 | 0.0 | In |
Call | 2024-06-14 CALL at $70.0 | 0.8716 | 0.0273 | 0 | 2024-06-14 | 7.8 - 9.0 | 0.0 | In |
Call | 2024-06-14 CALL at $71.0 | 0.9445 | 0.0242 | 2 | 2024-06-14 | 5.2 - 8.8 | 6.03 | In |
Call | 2024-06-14 CALL at $72.0 | 0.8474 | 0.0379 | 0 | 2024-06-14 | 4.5 - 6.4 | 0.0 | In |
Call | 2024-06-14 CALL at $73.0 | 0.7804 | 0.0427 | 9 | 2024-06-14 | 3.5 - 5.8 | 4.5 | In |
Call | 2024-06-14 CALL at $74.0 | 0.8096 | 0.0575 | 6 | 2024-06-14 | 2.6 - 4.4 | 4.0 | In |
Call | 2024-06-14 CALL at $75.0 | 0.7178 | 0.0621 | 9 | 2024-06-14 | 2.3 - 5.0 | 3.88 | In |
Call | 2024-06-14 CALL at $76.0 | 0.7325 | 0.103 | 21 | 2024-06-14 | 2.3 - 2.55 | 2.0 | In |
Call | 2024-06-14 CALL at $77.0 | 0.6265 | 0.1279 | 67 | 2024-06-14 | 1.6 - 1.75 | 1.47 | In |
Call | 2024-06-14 CALL at $78.0 | 0.4933 | 0.1353 | 16 | 2024-06-14 | 1.05 - 1.2 | 0.9 | Out |
Call | 2024-06-14 CALL at $79.0 | 0.3602 | 0.1284 | 28 | 2024-06-14 | 0.65 - 0.75 | 0.7 | Out |
Call | 2024-06-14 CALL at $80.0 | 0.2325 | 0.1101 | 71 | 2024-06-14 | 0.35 - 0.45 | 0.37 | Out |
Call | 2024-06-14 CALL at $81.0 | 0.1421 | 0.0804 | 105 | 2024-06-14 | 0.2 - 0.3 | 0.2 | Out |
Call | 2024-06-14 CALL at $82.0 | 0.1029 | 0.0576 | 75 | 2024-06-14 | 0.1 - 0.2 | 0.15 | Out |
Call | 2024-06-14 CALL at $83.0 | 0.0786 | 0.0426 | 51 | 2024-06-14 | 0.05 - 0.15 | 0.12 | Out |
Call | 2024-06-14 CALL at $84.0 | 0.0623 | 0.0326 | 29 | 2024-06-14 | 0.05 - 0.15 | 0.1 | Out |
Call | 2024-06-14 CALL at $87.0 | 0.0581 | 0.0217 | 22 | 2024-06-14 | 0.0 - 0.25 | 0.13 | Out |
Call | 2024-06-14 CALL at $89.0 | 0.0257 | 0.0114 | 12 | 2024-06-14 | 0.0 - 0.15 | 0.05 | Out |
Put | 2024-06-14 PUT at $67.0 | -0.0064 | 0.0038 | 571 | 2024-06-14 | 0.0 - 0.15 | 0.01 | Out |
Put | 2024-06-14 PUT at $73.0 | -0.066 | 0.0377 | 24 | 2024-06-14 | 0.05 - 0.15 | 0.27 | Out |
Put | 2024-06-14 PUT at $74.0 | -0.1103 | 0.0568 | 21 | 2024-06-14 | 0.1 - 0.2 | 0.18 | Out |
Put | 2024-06-14 PUT at $75.0 | -0.1571 | 0.0806 | 61 | 2024-06-14 | 0.2 - 0.3 | 0.7 | Out |
Put | 2024-06-14 PUT at $76.0 | -0.2576 | 0.1065 | 2 | 2024-06-14 | 0.35 - 0.5 | 0.48 | Out |
Put | 2024-06-14 PUT at $77.0 | -0.3681 | 0.1343 | 46 | 2024-06-14 | 0.65 - 0.8 | 0.87 | Out |
Put | 2024-06-14 PUT at $78.0 | -0.5081 | 0.1393 | 14 | 2024-06-14 | 1.1 - 1.25 | 1.2 | In |
Put | 2024-06-14 PUT at $79.0 | -0.6541 | 0.1383 | 65 | 2024-06-14 | 1.7 - 1.8 | 1.72 | In |
Put | 2024-06-14 PUT at $80.0 | -0.7705 | 0.1142 | 18 | 2024-06-14 | 2.3 - 2.65 | 3.7 | In |
Put | 2024-06-14 PUT at $81.0 | -0.8001 | 0.0813 | 97 | 2024-06-14 | 2.4 - 4.5 | 3.5 | In |
Put | 2024-06-14 PUT at $82.0 | -0.8752 | 0.0603 | 23 | 2024-06-14 | 2.75 - 5.9 | 5.5 | In |
Put | 2024-06-14 PUT at $83.0 | -0.9412 | 0.0676 | 10 | 2024-06-14 | 5.0 - 6.6 | 5.2 | In |
Put | 2024-06-14 PUT at $84.0 | -0.8926 | 0.04 | 0 | 2024-06-14 | 5.0 - 7.7 | 0.0 | In |
Put | 2024-06-14 PUT at $85.0 | -0.8883 | 0.0351 | 11 | 2024-06-14 | 6.2 - 7.4 | 4.2 | In |
Put | 2024-06-14 PUT at $86.0 | -0.7325 | 0.0295 | 0 | 2024-06-14 | 6.2 - 9.8 | 0.0 | In |
Put | 2024-06-14 PUT at $87.0 | -0.7502 | 0.0276 | 0 | 2024-06-14 | 7.1 - 10.7 | 0.0 | In |
Put | 2024-06-14 PUT at $88.0 | -0.9082 | 0.029 | 0 | 2024-06-14 | 9.3 - 11.5 | 0.0 | In |
Put | 2024-06-14 PUT at $89.0 | -0.903 | 0.0223 | 0 | 2024-06-14 | 10.0 - 12.9 | 0.0 | In |
Put | 2024-06-14 PUT at $90.0 | -0.8063 | 0.023 | 0 | 2024-06-14 | 10.3 - 13.3 | 0.0 | In |
Put | 2024-06-14 PUT at $91.0 | -0.9884 | 0.0057 | 3 | 2024-06-14 | 11.7 - 14.6 | 11.0 | In |
Put | 2024-06-14 PUT at $92.0 | -0.8455 | 0.0201 | 0 | 2024-06-14 | 13.0 - 15.0 | 14.1 | In |
Put | 2024-06-14 PUT at $95.0 | -0.8409 | 0.0171 | 0 | 2024-06-14 | 15.3 - 18.2 | 0.0 | In |
Put | 2024-06-14 PUT at $100.0 | -0.9402 | 0.01 | 0 | 2024-06-14 | 21.3 - 23.5 | 0.0 | In |
Put | 2024-06-14 PUT at $105.0 | -0.9609 | 0.0067 | 0 | 2024-06-14 | 26.3 - 28.3 | 0.0 | In |
Put | 2024-06-14 PUT at $110.0 | -0.8417 | 0.0104 | 0 | 2024-06-14 | 30.3 - 33.8 | 0.0 | In |
Put | 2024-06-14 PUT at $115.0 | -0.9825 | 0.0031 | 0 | 2024-06-14 | 35.3 - 39.1 | 0.0 | In |
CF Industries Total Stockholder Equity
Total Stockholder Equity |
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CF Industries Corporate Directors
| Javed Ahmed | Independent Director | Profile | |
| Robert Arzbaecher | Independent Director | Profile | |
| William Davisson | Independent Director | Profile | |
| John Eaves | Independent Director | Profile |
Additional Information and Resources on Investing in CF Industries Stock
When determining whether CF Industries Holdings is a strong investment it is important to analyze CF Industries' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact CF Industries' future performance. For an informed investment choice regarding CF Industries Stock, refer to the following important reports:Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in CF Industries Holdings. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in census. You can also try the Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
Is Fertilizers & Agricultural Chemicals 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 CF Industries. If investors know CF Industries 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 CF Industries 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 (0.64) | Dividend Share 1.7 | Earnings Share 6.05 | Revenue Per Share 31.855 | Quarterly Revenue Growth (0.27) |
The market value of CF Industries Holdings is measured differently than its book value, which is the value of CF Industries that is recorded on the company's balance sheet. Investors also form their own opinion of CF Industries' value that differs from its market value or its book value, called intrinsic value, which is CF Industries' 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 CF Industries' market value can be influenced by many factors that don't directly affect CF Industries' 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 CF Industries' value and its price as these two are different measures arrived at by different means. Investors typically determine if CF Industries is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, CF Industries' 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.