Profit-taking and earnings have stocks retreating from yesterday's record highs
Stocks are cooling off today, as profit taking and lackluster earnings trip up Wall Street. The Dow Jones Industrial Average (DJI) is firmly in the red but off its session lows, weighed down by a post-earnings plummet from UnitedHealth (UNH). The S&P 500 Index (SPX) and Nasdaq Composite (IXIC) both lower as well, the latter off by triple digits, while Wall Street's "fear gauge," the Cboe Volatility Index (VIX) has managed to scrape back to the 20 mark.
Continue reading for more on today's market, including:
- Another blue-chip earnings report to unpack.
- Etsy stock brushes off downgrade.
- Plus, PTON calls power up; Walgreens' top-line beat; and a chipmaker cools off.
Peloton Interactive Inc (NASDAQ:PTON) is seeing notable activity in the options pits today. At last check, over 17,000 calls have changed hands, volume that's double the average intraday amount and nearly six times the number of puts traded. The October 5 strike is the most popular, while there are new positions being sold to open at the 5.50 strike, as well as the weekly 10/25 6-strike. PTON is 15.4% lower in 2024 and down 4% to trade at $5.18 today, but has more than doubled off its May 2 record low of $2.70 and just yesterday closed at its highest level since February.
Walgreens Boots Alliance Inc (NASDAQ:WBA) stock is near the top of the SPX today, last seen up 10% to trade at $9.94 after the pharmacy giant reported fiscal fourth-quarter earnings and revenue that exceeded estimates. Walgreens stock is heading for its best single-session gain since 2020, but is still down 61% in 2024.
Advanced Micro Devices Inc (NASDAQ:AMD) is near the bottom of the SPX, last seen down 4.2% to trade at $158.50, as the semiconductor sector suffers from profit taking. AMD stock is still 7.7% higher in 2024, but has carved a channel of lower highs since a March 8 all-time high of $227.30.