what is the value of a put option at expiry
A put options value at expiry is $0 so it expires worthless which is good for the option seller (because he takes home the premium you paid to buy the option) but bad for you the option buyer.
What are options contract?
Options give you the right but not obligation to buy or sell a particular instrument at a particular date at particular price.
What is underlying?
This is what the option is made for , could be a stock like Tesla or Apple.
What are options greeks?
These are bunch of variables that decide the price of the option. They along with the price of the underlying decide the price of the option.
Delta, Gamma, Theta, Rho, Vega
For this discussion they are not relevant.
What is the Strike price of the options?
This is the price at which you contract is executed and the most important number.
What is option expiry?
This is the date on which you contract will expire.
What is a lot?
The minimum transaction you can execute, you have to but 100 shares worth of contract minimum. so 1 lot is 100 shares worth of options.
What is the price of the option?
It is the price you pay to buy that contract, think of it like an insurance fee. If the outcome you are betting on plays out you could get a payout. The price depends on the above variables
How do you get a payout?
You either sell the contract for more then you bought it at or you execute the contract to gain the price appreciation.Mostly you sell the contract.
What is moneyness of the option?
It's either ITM,OTM,ATM
This is what decides how much you pay for the contract and most importantly how much the contract will be worth on expiry.
If it is in the money(ITM) it will be worth something even on expiry.
If it is out of the money(OTM) it will be worth zero on expiry.
If it is at the money(ATM) it might be worth something on expiry.
Eg:
AAPL current price 232 USD
you buy 1 lot of AAPL option that gives you the right to buy/sell 100 AAPL shares.
So you buy 1 lot AAPL Put option with Strike price 262 USD for 33 USD with expiry 26 September 2025.
Since AAPL is at 232 and you are buying the right to sell AAPL at 262 USD, you are already paying more then 33 USD to own that contract. This is because if on 26 September AAPL were to close at 232 the seller of the contract will have to buy 100 shares of Apple from you at 262 usd. So he is asking for 33 in advance you see this is the intrinsic value of that contract today if it were executed today.
So on 26 September 2025 AAPL stock rises to 240 US,D the option is now worth 22 USD and you just made a loss of 11 USD per option.
calculation:
3300-2200=1100
So loss is 1100 USD.
So to answer your question put options are worth something if the strike is above the current price on expiry, So cahaya_dewan is wrong.