Open a calculator
Investment Calculators

Stock Option Calculator

Use this calculator to determine the value of your stock options for the next one to twenty five years.

Inputs
$
$
$

Estimates only. Adjust any value to recalculate instantly.

Results
Potential value at expected price $25,000 $8,000 if exercised at today’s price
Cost to exercise $20,000
Value today $8,000
Value at expected price $25,000
In the money? Yes
Exercise cost vs potential value
Exercise cost vs potential value Exercise cost: $20kPotential gain: $25k
  • Exercise cost $20k
  • Potential gain $25k
Option value Intrinsic value
Option value: Intrinsic value $25k$19k$13k$6.3k$0 Yr 1Yr 2Yr 3Yr 4Yr 5

Options have value only when the share price exceeds your $20.00 strike. This shows intrinsic value; actual gains depend on the price when you exercise, and exercising may trigger taxes — confirm the type (ISO vs NSO) with a tax advisor.

Option value as the share price growsView table
YearShare priceOption value
1$30.79$10,787
2$33.85$13,852
3$37.22$17,221
4$40.93$20,926
5$45.00$25,000

How the stock option calculator works

It computes the intrinsic value of your options — the number of options times how far the share price is above your strike — both at today’s price and at an expected future price.

Worked example

Worked example: with number of options of 1,000, strike (exercise) price of $20 and current share price of $28, the stock option calculator shows potential value at expected price of $25,000.

Cost to exercise
$20,000
Value today
$8,000
Value at expected price
$25,000
In the money?
Yes

The formula

Value = number of options × max(0, share price − strike price). Cost to exercise = options × strike.

Results are estimates for educational purposes and are not financial advice. Confirm exact figures with your lender, plan administrator or advisor.

Frequently asked

Questions about the stock option calculator

How do I value my stock options?

Their intrinsic value is the gain from exercising: the number of options times the amount the share price exceeds your strike. Options below the strike have no intrinsic value.

What does "in the money" mean?

When the current share price is above your strike price, so exercising would be profitable. "Out of the money" means the price is below the strike and the options are not yet worth exercising.

Are exercised options taxed?

Usually — the tax depends on whether they are ISOs or NSOs and when you sell. Exercising can create a taxable event or AMT exposure, so plan with a tax professional.

Is the Stock Option Calculator free to use?

Yes. Every calculator on FinCalculators is completely free, with no sign-up, login or paywall. You can run as many scenarios as you like.

Related calculators
Annual Rate of Return Calculator Use this calculator to determine the annual return of a known initial amount, a stream of deposits, plus a known final future value. Annual Stock Option Grants Use this calculator to project how much a series of annual stock option grants could be worth to you. Asset Allocation Calculator Your age, ability to tolerate risk and several other factors are used to calculate a desirable mix of stocks, bonds and cash. Compare Investment Fees Even a small difference in the fees you pay on your investments can add up over time. Use this calculator to see how different fees impact your investment strategy! Future Contracts Calculator Use this calculator to determine the number of futures contracts you may wish to purchase based on your account equity and trading plan. Future Value Calculator Use this calculator to determine the future value of an investment which can include an initial deposit and a stream of periodic deposits.