I can’t seem to stay away from the option trading potential of RF Micro Devices (RFMD). The stock is very volatile and stays within a trading range of 2.75-3.50 per share. This seemed ripe for the picking today as their Q1 earnings were announced at 5pm.

I entered a trade in the early afternoon for August 2.50 Calls at .55 and was pleasantly surprised when I returned home from work this evening that RFMD did in fact beat estimates and jump in after-hours trading from 2.91 to 3.20. So far, the options look to be up about 30 cents tomorrow morning.

I am not sure whether I will unload in the morning for a quick 60% profit or hold on a little longer. I think RFMD is headed back to 4 in the near term, but with option expiration only a few weeks away, I don’t know if it’s  worth the risk to hang on long after the news.