I am new to trading and confused. I have (5) $6 call options of USO1 that expire 7/17. I am wondering if I have the right to buy the 500 shares for $6 and sell them at current $25 price? Note I am using Robinhood.
The current quote for you 7/17 USO1 $6.00 call is $0.01 x $0.03. It is near worthless because USO underwent a 1 for 8 reverse split last month. When that occurs, the terms of the contract are adjusted and a "1" is added to the root symbol.
You can read the details here:
Yes, a call option gives you the right to buy at the Strike Price of $6.00. So if the stock is at $25, you can exercise the option to buy the stock at $6, and later after you have received it sell that stock for the market price.
Alternatively you can sell the option in the market. If there is still time value left in the option, you would probably get more than $19 for it.