/biz/ - Business & Finance

Noob question:

It's crystal clear to me how you can net profit from a successful call option. E.g. You're able to then buy a share trading at $70 for $65, then immediately flip it for +$5 per share. Simple as.

But can you make net profit on put options? Or do they only serve to mitigate losses that you were going to incur? E.g. You're able to sell your shares that are trading at $65 for $70 each. But to hit the strike price and allow that, your shares have to drop below a certain value, so put options only serve to mitigate loss i.e. you can't net gain $$$ off them.

Please correct me where I'm wrong