Put

A put option gives the buyer the right, but not the obligation, to sell an asset (like a stock) at a specific price (strike price) before or on the expiration date. Put options increase in value when the underlying asset’s price falls, making them useful for hedging against declines or profiting from bearish moves. Put buyers use puts to speculate on downward price movement or to protect a portfolio from losses, whereas put sellers utilize puts to speculate on upside movement in the underlying (though if a put seller can be forced to buy shares at the price, should the underlying trade below the strike price at expiration)