The9 Stock Options

NCTY
 Stock
  

USD 1.59  0.05  3.05%   

The9's option chain provides insight into all available option contracts written on The9's stock. Investors can see outstanding put and call contracts with pricing information and greeks for a given expiration period. In addition, each of The9's 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 The9 option contract. View S&P 500 options
  
Purchasing The9 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" The9 calls. Remember, the seller must deliver The9 Ltd ADR stock to the call owner when a call is exercised.

In The Money vs. Out of Money Option Contracts on The9

Analyzing The9's in-the-money options over time can help investors to take a profitable long position in The9 regardless of its overall volatility. This is especially true when The9's options are deep in the money. These options can be identified using deltas that are over 0.75. Deep in-the-money The9's options could be used as guardians of the underlying stock as they move almost dollar for dollar with The9's stock while costing only a fraction of its price.
The9's latest option contracts expiring on 2022-08-19 are carrying combined implied volatility of 120.27 with a put-to-call open interest ratio of 0.05 over 5 outstanding agreements suggesting investors are buying way more calls than puts on contracts expiring on 2022-08-19. The current put volume is at 10, with calls trading at the volume of 33. This yields a 0.3 put-to-call volume ratio. The The9 option chain provides detailed quote and price information for the current The9 Ltd ADR option contracts. It shows all of The9's listed puts, calls, expiration dates, strike prices, and other pricing information.

Open Interest Against 2022-08-19 Option Contracts

The9 option prices can potentially be used to forecast stock returns because most option chains provide information not only about the current prices but also about the future conditions in The9's lending market. For example, when The9's puts are not actively trading or completely missing in the marketplace, investors can use it to internalize expected shorting costs. So if an investor is writing a put option on The9, he or she must hedge the risk by shorting The9 stock over its option's life.
The chart above shows The9's 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. The9's open interest chart also provides vital information regarding the liquidity of an option. If there is no open interest for The9's option, there is no secondary market available for investors to trade.
The9's stock options are financial instruments that give investors the right to buy or sell shares of The9 Ltd ADR common stock at a specified price for a given time period. Generally speaking, an option to purchase or sell The9 stock makes it part of the underlying stock when the option's price is tied to the movement of the underlying stock. If The9's stock price goes up or down, the stock options follow.
Additionally, see Stocks Correlation.
Please note that buying 'in-the-money' options on The9 lessens the impact of time decay, as they carry both intrinsic and time value. So, even if The9's 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 The9 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 The9 Stock moves the wrong way.

The9 Current Options Market Mood

The9's 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 The9 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 The9's calls and puts, are not very successful. It is estimated that an average options trader loses somewhere between 80% to 90% of the time. The9's 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 The9's 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 The9 contract

Base on the Rule 16, the options market is currently suggesting that The9 Ltd ADR will have an average daily up or down price movement of about 7.52% per day over the life of the 2022-08-19 option contract. With The9 trading at $1.59, that is roughly $0.12. If you think that the market is fully incorporating The9's daily price movement you should consider buying The9 Ltd ADR options at the current volatility level of 120.27%. But if you have an opposite viewpoint you should avoid it and even consider selling them.

Be your own money manager

Our tools can tell you how much better you can do entering a position in The9 without increasing your portfolio risk or giving up expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate.risk-adjusted returns of your individual positions relative to your overall portfolio.

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Macroaxis puts the power of mathematics on your side. We analyze your portfolios and positions such as The9 Ltd ADR using complex mathematical models and algorithms, but make them easy to understand. There is no real person involved in your portfolio analysis. We perform a number of calculations to compute absolute and relative portfolio volatility, correlation between your assets, value at risk, expected return as well as over 100 different fundamental and technical indicators.

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Additionally, see Stocks Correlation. Note that the The9 Ltd ADR information on this page should be used as a complementary analysis to other The9's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Price Transformation module to use Price Transformation models to analyze depth of different equity instruments across global markets.

Complementary Tools for The9 Stock analysis

When running The9 Ltd ADR price analysis, check to measure The9's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy The9 is operating at the current time. Most of The9's value examination focuses on studying past and present price action to predict the probability of The9's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move The9's price. Additionally, you may evaluate how the addition of The9 to your portfolios can decrease your overall portfolio volatility.
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Is The9's industry 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 The9. If investors know The9 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 The9 listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Market Capitalization
38.7 M
Quarterly Revenue Growth YOY
62.21
Return On Assets
-0.29
Return On Equity
-1.87
The market value of The9 Ltd ADR is measured differently than its book value, which is the value of The9 that is recorded on the company's balance sheet. Investors also form their own opinion of The9's value that differs from its market value or its book value, called intrinsic value, which is The9's 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 The9's market value can be influenced by many factors that don't directly affect The9's 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 The9's value and its price as these two are different measures arrived at by different means. Investors typically determine The9 value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, The9's 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.