$CSCO dropped like a stone after its earnings report late this afternoon, with the stock making over double the move the market was expecting. Stated simply, it will be a big payday for $CSCO put buyers and call sellers. Here's why:
The $23 puts last traded for .22. Those should open over $1.50 tomorrow morning for an over-550 percent gain.
The $23.50 puts last traded for .39 and should open over $2.00 for a 400 percent gain.
To put those gains into profit potential: 10 contracts for $220 will be worth over $1,500 tomorrow.
