NVIDIA (NASDAQ: NVDA) shares are trading higher today after the company reported a first-quarter profit of $176.8 million, or 30 cents per share. Although the adjusted profit of 36 cents per share missed analyst estimates of 38 cents per share, a few analysts upgraded NVDA saying margin growth and new products should improve NVDA's prospects through the year. If you think that the stock won't fall by too much in the coming months, then now could be a good time to look at a bullish hedged trade on NVDA.

After hitting a one-year high of $39.67 in October, the stock hit a one-year low of $17.31 in March. NVDA opened this morning at $22.01. So far today the stock has hit a low of $21.97 and a high of $23.39. As of 12:00, NVDA is trading at $23.38, up 1.43 (6.5%). The chart for NVDA looks bullish but deteriorating slightly, while S&P gives the stock a neutral 3 STARS (out of 5) hold rating.

For a bullish hedged play on this stock, I would consider a September bull-put credit spread below the $17.50 range. A bull-put credit spread is an options position that combines the purchase and sale of put options to hedge risk in case the stock doesn't do what you think but still leverage nice returns. For this particular trade, we will make a 9.9% return in just five and a half months as long as NVDA is above $17.50 at September expiration. NVIDIA would have to fall by more than 25% before we would start to lose money. Learn more about this type of trade here.

NVDA hasn't been below $17.50 by more than a few cents at all in the past year and has shown support around $22 recently. This trade could be risky if the company's next earnings (due out in mid-August) disappoint, but even if that happens, this position could be protected by the support the stock might find from its 50-day moving average, which is currently around $20.

Brent Archer is an options analyst and writer at Investors Observer.

DISCLOSURE: Mr. Archer owns and/or controls diversified portfolios of long and short stock and option positions that may include holdings in companies he writes about. At publication time, Brent neither owns nor controls positions in NVDA.