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For instance, if an options contract with a strike price of $45 is trading for $8 and the underlying stock trades at $50, $5 of the option's price would be intrinsic value (the value of the stock beyond the strike price) and the other $3 would be time value.
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Put options are an excellent way to potentially buy a stock at your desired, lower share price and get paid an option premium while waiting for that price, whether
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