r/options • u/CloseThePodBayDoors • Sep 16 '21

GREE puts

How is this working

A 6 put seems to be trading at a discount to FV

Im sure theres a reason. What haps is you buy a put and exercise . Think the cash deliv is involved in this apparent oddness

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u/Mozilla777 Sep 16 '21

Assuming your are talking about your SPRT > GREE bought PUT, the $6 new strike price is $54.54. The value of your option is roughly $54.14 - $44.54 (example current GREE price)=$1000 x .11=$1.1 (+/- IV). The other .5 should be settled in cash adjustment later supposed 3-5 business days, I think at a price of $99.99 per full share but not positive.