Nvidia Inc. (NVDA) stock has been volatile, but investors can still earn over 1% yields shorting out-of-the-money (OTM) put options. This makes them attractive to investors ahead of earnings, which will be released next Wednesday, May 28, after the market close.
For example, NVDA puts have a yield of 1.39% for exercise prices expiring in 2 weeks at 10% below today's price,. So, even if NVDA falls over 11% next week after earnings are released, investors can break even.