Michael, you did not miscalculate anything. The reason your gain is only $50 rather than the expected $115, is because there is a spread between the bid and the ask price for these options which is the market makers profit and that always works against you. Now you can hold these options to maturity and you get closer to your $115 profit (assuming the stock price is still over $18), but it still will not be the full theoretical value. But if the price is $16 or less at expiration, you will have an $85 loss, while right now you could cash out at a $50 profit.

FYI this bull call spread is only a papertrade....

I made the following vertical debit spread last week on stock BKS:

BKS - $16.44

Bought 16 Call $1.80 (April Exp.)

Sold/wrote 18 Call $0.95 (April Exp.)

Net debit = $85

Then I calculated this:

Max Profit: $115, once stock BKS >= $18

Breakeven: $16.85

Now here's my issue...

Moments ago, BKS was trading at around $18.50. When I looked at the options chains, I found this information:

April 16 Call = $3.05

April 18 Call = $1.70

So I sell to close the 16 call for $305, and then buy to close the 18 call for $170. Now along with my initial debit, that leads me with only $50 profit! (Credit= $305 , Debit = $85 + $170 = $255).

What is wrong here? Did I miscalculate something? Im also just a novice...

Thank you,

Michael