VMware, Inc. (NYSE: VMW) was a popular target among put traders on Monday, as the virtualization vixen prepares for its date in the earnings confessional. According to Thomson Reuters, the firm is expected to report third-quarter earnings after the closing bell tomorrow. Ahead of the event, the security saw roughly 5,600 puts cross the tape – nearly tripling the number of VMW calls traded, and more than quadrupling its average single-session volume of about 1,300 puts.

At 3:08 p.m. Eastern, a block of 1,000 November 39 puts – marked "spread" – traded at $0.65, between the bid and ask price at the time. Meanwhile, two blocks totaling 1,000 November 45 puts – also marked "spread" – changed hands at the ask price of $2.70, implying they were bought. Assuming the 39-strike puts were sold, it appears we've unraveled a long put spread on VMW.

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