strike price

noun

: an agreed-upon price at which an option contract can be exercised

called also striking price

Examples of strike price in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
By selling the 350 puts one takes on the risk of being compelled to purchase the stock at that strike price, but that’s where the stock was trading before this earnings release. Michael Khouw, CNBC, 1 May 2026 The aggressive strike prices on the options signal that Meta sees AI as a massive opportunity and that the market for talent in AI has intensified to the point Meta needed to level up its compensation plan. Amanda Gerut, Fortune, 29 Apr. 2026 Initial excitement turns into frustration Blue Origin offered options initially at a strike price of $4 a share, meaning that if there were a liquidity event at something like $10 a share, employees could exercise their options and sell their shares at a significantly higher price. Eric Berger, ArsTechnica, 9 Mar. 2026 If your strike price was set against an inflated valuation, your equity may now be underwater or only marginally in the money. Ilona Limonta-Volkova, Forbes.com, 22 Feb. 2026 See All Example Sentences for strike price

Word History

First Known Use

1972, in the meaning defined above

Time Traveler
The first known use of strike price was in 1972

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Cite this Entry

“Strike price.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/strike%20price. Accessed 12 May. 2026.

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