Wynn Resorts (WYNN) is taking a 10 percent hit even after the company reported better-than-expected third quarter results and saying in the post-earnings conference call that the casino operator’s results in 2009 are likely “to equal or beat” its 2008 results in both Macau and Las Vegas. Some investors might have been disappointed with results in Macua, the only place in China were gambling is legal. The market is considered an important one for WYNN and other casino operators and earnings from Macau operations only beat Street expectations by 2 percent. Some investors might have been expecting more.

In the options, trading in WYNN is brisk, with 29K calls and 16K puts traded midday. Most of the action is in the front-month, with heavy trading in Nov puts and calls with strike prices ranging from 55 to 70. Implied volatility is down to 57, from 62, as some investors exit positions as shares falter.