# Option Greeks: Delta

Delta is the change in option premium expected from a small change in the stock price.

It is an important by-product of the Black-Scholes model.

There are three common uses of delta.

- Measure of option sensitivity
- Hedge ratio
- Likelihood of becoming in-the-money

**Measure of Option Sensitivity**

For a call option, the delta is represented as:

For a put option, the delta is represented as:

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