Ribbon Communications Stock Options
RBBN Stock | USD 4.03 0.01 0.25% |
Ribbon Communications' latest option contracts expiring on April 17th 2025 are carrying combined implied volatility of 0.84 with a put-to-call open interest ratio of 0.0 over 6 outstanding agreements suggesting investors are buying way more calls than puts on contracts expiring on April 17th 2025.
Open Interest Against April 17th 2025 Option Contracts
2025-04-17
The chart above shows Ribbon Communications' 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. Ribbon Communications' open interest chart also provides vital information regarding the liquidity of an option. If there is no open interest for Ribbon Communications' option, there is no secondary market available for investors to trade.
In The Money vs. Out of Money Option Contracts on Ribbon Communications
Analyzing Ribbon Communications' in-the-money options over time can help investors to take a profitable long position in Ribbon Communications regardless of its overall volatility. This is especially true when Ribbon Communications' options are deep in the money. These options can be identified using deltas that are over 0.75. Deep in-the-money Ribbon Communications' options could be used as guardians of the underlying stock as they move almost dollar for dollar with Ribbon Communications' stock while costing only a fraction of its price.
Please note that buying 'in-the-money' options on Ribbon Communications lessens the impact of time decay, as they carry both intrinsic and time value. So, even if Ribbon Communications' value remains static through the expiration date, the investor can sell to close an 'in-the-money' option to avoid a potential loss. However, in-the-money Ribbon Communications contracts are usually more expensive to enter than their out-of-the-money counterparts. So keep in mind that while the payoffs on an in-the-money trade can be high, the investors could ultimately experience a more consequential loss if Ribbon Stock moves the wrong way.
Ribbon Communications In The Money Call Balance
When Ribbon Communications' strike price is surpassing the current stock price, the option contract against Ribbon Communications stock is said to be in the money. When it comes to buying Ribbon Communications' 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 Ribbon Communications 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.
Ribbon Current Options Market Mood
Ribbon Communications' 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 Ribbon 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
Unfortunately, most Ribbon Communications' options investors are not very successful. Ribbon Communications' 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 Ribbon contract
Base on the Rule 16, the options market is currently suggesting that Ribbon Communications will have an average daily up or down price movement of about 0.0525% per day over the life of the 2025-04-17 option contract. With Ribbon Communications trading at USD 4.03, that is roughly USD 0.002116. If you think that the market is fully incorporating Ribbon Communications' daily price movement you should consider buying Ribbon Communications options at the current volatility level of 0.84%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
Ribbon |
Purchasing Ribbon Communications 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" Ribbon calls. Remember, the seller must deliver Ribbon Communications stock to the call owner when a call is exercised.
Ribbon Communications Option Chain
When Ribbon Communications' strike price is surpassing the current stock price, the option contract against Ribbon Communications 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.
Ribbon Communications' option chain is a display of a range of information that helps investors for ways to trade options on Ribbon. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for Ribbon. It also shows strike prices and maturity days for a Ribbon Communications 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 | RBBN250417C00002500 | 40 | 2.5 | 1.45 - 1.7 | 1.58 | In |
Call | RBBN250417C00005000 | 929 | 5.0 | 0.1 - 0.25 | 0.15 | Out |
Call | RBBN250417C00007500 | 2 | 7.5 | 0.0 - 0.2 | 0.1 | Out |
Put | RBBN250417P00002500 | 1 | 2.5 | 0.0 - 0.75 | 0.09 | Out |
Put | RBBN250417P00005000 | 0 | 5.0 | 0.95 - 1.2 | 0.95 | In |
Put | RBBN250417P00007500 | 0 | 7.5 | 3.4 - 3.6 | 3.4 | In |
Ribbon Communications Selling And Marketing Expenses Over Time
Selling And Marketing Expenses |
Timeline |
Ribbon Communications Market Cap Over Time
Market Cap |
Timeline |
Ribbon Total Stockholder Equity
Total Stockholder Equity |
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Ribbon Communications Corporate Executives
Elected by the shareholders, the Ribbon Communications' board of directors comprises two types of representatives: Ribbon Communications inside directors who are chosen from within the company, and outside directors, selected externally and held independent of Ribbon. The board's role is to monitor Ribbon Communications' management team and ensure that shareholders' interests are well served. Ribbon Communications' inside directors are responsible for reviewing and approving budgets prepared by upper management to implement core corporate initiatives and projects. On the other hand, Ribbon Communications' outside directors are responsible for providing unbiased perspectives on the board's policies.
Miguel Ben | Executive CFO | Profile | |
John Townsend | Executive CFO | Profile | |
Salvatore Bucci | Executive COO | Profile |
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Ribbon Communications. 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. To learn how to invest in Ribbon Stock, please use our How to Invest in Ribbon Communications guide.You can also try the Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Is Communications Equipment 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 Ribbon Communications. If investors know Ribbon 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 Ribbon Communications 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 (0.68) | Earnings Share (0.31) | Revenue Per Share | Quarterly Revenue Growth 0.035 | Return On Assets |
The market value of Ribbon Communications is measured differently than its book value, which is the value of Ribbon that is recorded on the company's balance sheet. Investors also form their own opinion of Ribbon Communications' value that differs from its market value or its book value, called intrinsic value, which is Ribbon Communications' 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 Ribbon Communications' market value can be influenced by many factors that don't directly affect Ribbon Communications' 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 Ribbon Communications' value and its price as these two are different measures arrived at by different means. Investors typically determine if Ribbon Communications is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Ribbon Communications' 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.