Protective Put Calculator

A simple strategy to limit your losses on when you are bullish but nervous on a stock. If you own 100 shares of an underlying stock and the price falls below strike A, you can exercise your put to sell your position at strike price A. (Similar to a stop-loss)

The disadvantage is that if the stock goes up, you will have reduced your potential profit by the cost of the put. This "insurance" may be worth it however.