Finance Calculators

Put-Call Parity Calculator

Calculate the theoretical price of a put option from a matching call option's price using the put-call parity relationship.

Call option price

Current stock price

Strike price

Risk-free interest rate

Time to expiration

years

Theoretical put price —

About the Put-Call Parity Calculator

Put-call parity is a no-arbitrage relationship that links the price of a European call and put with the same strike and expiration — if it doesn't hold, an arbitrage opportunity theoretically exists.

Formula: Put = Call − Stock Price + Strike × e^−rT, where r is the risk-free rate and T is time to expiration in years.

This relationship is used to check whether a quoted option price is consistent with its counterpart, and to derive a synthetic put or call position when only one side is directly available.