HSBC250117P00040000 Option on HSBC Holdings PLC
| HSBC Stock | USD 51.51 0.60 1.18% |
HSBC Holdings' latest option contracts expiring on March 21st 2025 are carrying combined implied volatility of 0.44 with a put-to-call open interest ratio of 1.67 over 36 outstanding agreements suggesting investors are buying way more puts than calls on contracts expiring on March 21st 2025. The total put volume is at 15.0, with calls trading at the volume of 13.0. This yields a 1.15 put-to-call volume ratio.
Open Interest Against March 21st 2025 Option Contracts
2025-03-21
The chart above shows HSBC Holdings' 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. HSBC Holdings' open interest chart also provides vital information regarding the liquidity of an option. If there is no open interest for HSBC Holdings' option, there is no secondary market available for investors to trade.
HSBC Holdings Maximum Pain Price Across 2025-03-21 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 HSBC Holdings close to expiration to expire worthless. 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, HSBC Holdings' option sellers may reap the most after selling more options than buying, causing them to expire worthless.
In The Money vs. Out of Money Option Contracts on HSBC Holdings
Analyzing HSBC Holdings' in-the-money options over time can help investors to take a profitable long position in HSBC Holdings regardless of its overall volatility. This is especially true when HSBC Holdings' options are deep in the money. These options can be identified using deltas that are over 0.75. Deep in-the-money HSBC Holdings' options could be used as guardians of the underlying stock as they move almost dollar for dollar with HSBC Holdings' stock while costing only a fraction of its price.
HSBC Holdings' stock options are financial instruments that give investors the right to buy or sell shares of HSBC Holdings PLC common stock at a specified price for a given time period. Generally speaking, an option to purchase or sell HSBC stock makes it part of the underlying stock when the option's price is tied to the movement of the underlying stock. If HSBC Holdings' stock price goes up or down, the stock options follow.
At present, HSBC Holdings' Other Stockholder Equity is projected to decrease significantly based on the last few years of reporting. The current year's Preferred Stock Total Equity is expected to grow to about 26.9 B, whereas Total Stockholder Equity is forecasted to decline to about 109.2 B. HSBC Holdings PLC In The Money Call Balance
When HSBC Holdings' strike price is surpassing the current stock price, the option contract against HSBC Holdings PLC stock is said to be in the money. When it comes to buying HSBC Holdings' 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 HSBC Holdings PLC 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.
HSBC Current Options Market Mood
HSBC Holdings' 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 HSBC 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 HSBC Holdings' calls and puts, are not very successful. It is estimated that an average options trader loses somewhere between 80% to 90% of the time. HSBC Holdings' 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 HSBC contract
Base on the Rule 16, the options market is currently suggesting that HSBC Holdings PLC will have an average daily up or down price movement of about 0.0275% per day over the life of the 2025-03-21 option contract. With HSBC Holdings trading at USD 51.51, that is roughly USD 0.0142. If you think that the market is fully incorporating HSBC Holdings' daily price movement you should consider buying HSBC Holdings PLC options at the current volatility level of 0.44%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
HSBC |
Purchasing HSBC Holdings 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" HSBC calls. Remember, the seller must deliver HSBC Holdings PLC stock to the call owner when a call is exercised.
HSBC Holdings Option Chain
When HSBC Holdings' strike price is surpassing the current stock price, the option contract against HSBC Holdings PLC 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.
HSBC Holdings' option chain is a display of a range of information that helps investors for ways to trade options on HSBC. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for HSBC. It also shows strike prices and maturity days for a HSBC Holdings 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 | HSBC250321C00038000 | 5 | 38.0 | 11.1 - 15.9 | 5.77 | In |
Call | HSBC250321C00039000 | 3 | 39.0 | 10.1 - 14.9 | 7.5 | In |
Call | HSBC250321C00040000 | 3 | 40.0 | 9.3 - 13.9 | 5.93 | In |
Call | HSBC250321C00041000 | 11 | 41.0 | 8.1 - 12.9 | 6.6 | In |
Call | HSBC250321C00042000 | 180 | 42.0 | 7.2 - 12.0 | 5.5 | In |
Call | HSBC250321C00043000 | 895 | 43.0 | 6.3 - 11.0 | 6.7 | In |
Call | HSBC250321C00044000 | 439 | 44.0 | 5.5 - 10.1 | 5.31 | In |
Call | HSBC250321C00045000 | 103 | 45.0 | 4.5 - 9.1 | 5.26 | In |
Call | HSBC250321C00046000 | 211 | 46.0 | 3.5 - 8.2 | 3.5 | In |
Call | HSBC250321C00047000 | 98 | 47.0 | 2.5 - 7.3 | 3.0 | In |
Call | HSBC250321C00048000 | 140 | 48.0 | 1.6 - 6.3 | 2.15 | In |
Call | HSBC250321C00049000 | 63 | 49.0 | 2.9 - 4.0 | 2.85 | In |
Call | HSBC250321C00050000 | 170 | 50.0 | 1.4 - 2.7 | 2.5 | In |
Call | HSBC250321C00055000 | 171 | 55.0 | 0.0 - 0.5 | 0.45 | Out |
Call | HSBC250321C00060000 | 1 | 60.0 | 0.0 - 0.35 | 0.05 | Out |
Call | HSBC250321C00065000 | 0 | 65.0 | 0.0 - 0.3 | 0.3 | |
Put | HSBC250321P00025000 | 2 | 25.0 | 0.0 - 4.8 | 0.05 | Out |
Put | HSBC250321P00035000 | 3 | 35.0 | 0.0 - 2.55 | 0.4 | Out |
Put | HSBC250321P00036000 | 2 | 36.0 | 0.0 - 4.8 | 0.49 | Out |
Put | HSBC250321P00037000 | 74 | 37.0 | 0.0 - 4.8 | 0.4 | Out |
Put | HSBC250321P00038000 | 51 | 38.0 | 0.0 - 2.95 | 0.42 | Out |
Put | HSBC250321P00039000 | 1248 | 39.0 | 0.05 - 0.2 | 0.6 | Out |
Put | HSBC250321P00040000 | 217 | 40.0 | 0.0 - 0.2 | 0.2 | Out |
Put | HSBC250321P00041000 | 463 | 41.0 | 0.1 - 0.35 | 0.42 | Out |
Put | HSBC250321P00042000 | 612 | 42.0 | 0.0 - 0.25 | 0.3 | Out |
Put | HSBC250321P00043000 | 483 | 43.0 | 0.15 - 0.3 | 0.25 | Out |
Put | HSBC250321P00044000 | 305 | 44.0 | 0.2 - 0.35 | 0.7 | Out |
Put | HSBC250321P00045000 | 103 | 45.0 | 0.25 - 0.4 | 0.74 | Out |
Put | HSBC250321P00046000 | 60 | 46.0 | 0.35 - 2.75 | 0.61 | Out |
Put | HSBC250321P00047000 | 98 | 47.0 | 0.2 - 1.7 | 0.86 | Out |
Put | HSBC250321P00048000 | 256 | 48.0 | 0.8 - 0.95 | 1.4 | Out |
Put | HSBC250321P00049000 | 168 | 49.0 | 1.0 - 1.3 | 1.5 | Out |
Put | HSBC250321P00050000 | 23 | 50.0 | 0.0 - 1.6 | 1.6 | Out |
Put | HSBC250321P00055000 | 0 | 55.0 | 2.7 - 7.5 | 2.7 | In |
Put | HSBC250321P00060000 | 0 | 60.0 | 7.3 - 12.0 | 7.3 | In |
Put | HSBC250321P00065000 | 0 | 65.0 | 12.3 - 17.0 | 12.3 | In |
HSBC Holdings Market Cap Over Time
Market Cap |
| Timeline |
HSBC Total Stockholder Equity
Total Stockholder Equity |
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HSBC Holdings Corporate Directors
| David Nish | Senior Independent Non-Executive Director | Profile | |
| Pauline Mohr | Independent Non-Executive Director | Profile | |
| Henri Castries | Non-Executive Independent Director | Profile | |
| Ewen Stevenson | Group Chief Financial Officer, Executive Director | Profile |
Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in HSBC Holdings PLC. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in bureau of labor statistics. You can also try the Technical Analysis module to check basic technical indicators and analysis based on most latest market data.
Is Diversified Banks 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 HSBC Holdings. If investors know HSBC 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 HSBC Holdings 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 0.167 | Dividend Share 0.61 | Earnings Share 6.2 | Revenue Per Share | Quarterly Revenue Growth 0.061 |
The market value of HSBC Holdings PLC is measured differently than its book value, which is the value of HSBC that is recorded on the company's balance sheet. Investors also form their own opinion of HSBC Holdings' value that differs from its market value or its book value, called intrinsic value, which is HSBC Holdings' 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 HSBC Holdings' market value can be influenced by many factors that don't directly affect HSBC Holdings' 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 HSBC Holdings' value and its price as these two are different measures arrived at by different means. Investors typically determine if HSBC Holdings is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, HSBC Holdings' 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.