Why is this option bid so high?

Underlying is at .50, strike at .50
Why is there a bid (and 6.1k open positions) at 0.50?
(okay, maybe the positions were opened at a different price).
why wouldn't anyone simply buy the underlying for 20 cents more?

 

which stock?

 

He can't reveal it or you will sneak in and steal his play

 

stale quotes

 

Hmmm..why wouldnt you. Buy stock at .50 and sell the .50 call at .50??

 

Bid is a bid, can’t be stale. But the bid seems to be only 5 cents. The screenshot doesn’t show what’s the bid vs ask, vs whatever those numbers are.

 

You’re asking why there is a bid, but why shouldn’t there be one? That’s what market makers are for: they place bids.
The 5 cent bid on a $0.50 stock doesn’t look so bad. Wouldn’t you pay 5 cents for it?

 

That makes alot more sense

 

OP here.
My apologies, I didn't include the Bid label because I just grabbed the bottom row of the option chain and forgot! Oops.
.05 is the spread.
The bid is .30 - on a .50 strike and it's pretty much exactly ATM.
Been there for days.

 

Oh. Well, bids have to be honored so looks valid. Possible for stocks that very volatile, unless your broker doesn’t show the correct price. Also likely on distant expirations.
You can try selling naked or covered calls on it