On 9/1/2022, you bought an XYZ call option with $150 exercise price, expiring on 3/1/2023. This is an American-style option. 3 months later, on 12/1/2022 (=today), XYZ stock price becomes $170 and the your call option is in-the-money. You think the price will fall soon and $170 is the highest price XYZ will ever be until option expires. Which is the best action to take today? In other words, which action will result in the best outcome for you today? Buy the underlying stock. Early exercise the call (= receive XYZ stock worth $170 and pay $150 ) Sell back the call option at a fair market price (=intrinsic value + time value). Can't do anything because it's an American-style option