Merck, Ralph Lauren, Macy's News Today

Today's stocks to watch in the news include Merck & Co., Inc. (MRK), Ralph Lauren Corp (RL), and Macy's Inc (M)

Feb 2, 2017 at 10:02 AM
facebook twitter linkedin

U.S. stocks are lower, as traders continue to digest yesterday's Fed announcement and dissect the latest earnings reports. Among specific equities in focus today are biotech stock Merck & Co., Inc. (NYSE:MRK), as well as retailers Ralph Lauren Corp (NYSE:RL) and Macy's Inc (NYSE:M). Here's a quick look at what's driving MRK, RL, and M.

Merck Rises After Earnings

MRK is trading 2.1% higher at $63.42, after the company reported stronger-than-expected Keytruda sales and matched analysts' fourth-quarter earnings estimates. Merck also issued 2017 guidance in line with expectations. MRK shares are up more than 26.5% year-over-year, with a recent pullback contained by their 200-day moving average. Short sellers are exiting their positions, with Merck & Co., Inc.'s short interest down 15% in the last two reporting periods.

Ralph Lauren Dips After Earnings, CEO Departure

RL is down 11.1% at $77.73, after news that CEO Stefan Larsson will be leaving the company amid disagreements with the founder "on how to evolve creative and consumer-facing parts of business." The company also delivered a per-share earnings beat, but reported fiscal third-quarter sales below expectations. Out of the gate, RL touched a six-year low of $77.50, and is now down more than 32% year-over-year. Today's drop should come as a boon to near-term option players, who have been unusually put-tilted, with Ralph Lauren Corp's Schaeffer's put/call open interest ratio (SOIR) of 1.54 sitting just 8 percentage points from an annual peak.

Macy's Pops On Buyout Buzz

M is trading 4.1% higher at $30.40 amid buyout rumors, after the New York Post said Macy's Inc CEO Terry Lundgren is open to offers ahead of his retirement later this quarter. After notching a near-term peak on Black Friday, the shares of M have lost nearly one-third of their value, though today's bump could put M above its 20-day moving average for the first time since mid-December. Analysts are still skeptical of the retailer, with 11 of 13 rating the shares just a lukewarm "hold."

Get a jump-start on the day's stock market news with Schaeffer's free Opening View newsletter.


Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 


300x250 - Banner 3 - v1