PepsiCo Stock on Track for Worst Day Since October

PEP could log its first weekly loss in three

Fernanda Horner

Digital Content Manager

Feb 9, 2024 at 10:47 AM

PepsiCo Inc (NASDAQ:PEP) missed revenue estimates for the fourth quarter, amid higher borrowing costs and slowing demand for its products thanks to increasing prices. Though earnings beat expectations, PEP is down 2.9% to trade at $168.75 at last check.

The security is today on track for its worst single-day percentage loss since October, and could mark its first weekly loss in three. The 180-day moving average lingers as a firm level of resistance, yesterday rejecting the stock's rally to the $174 mark. In the last nine months, PEP shed 14%.

Options volume is today running at seven times the intraday average volume, with 30,000 calls and 27,000 puts across the tape so far. The weekly 2/9 165-strike put, which expires at the close, is the most popular contract, with new positions being bought to open there.

At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), the equity's 10-day call/put volume ratio of 2.46 stands higher than 83% of readings from the past year. Should this optimism start to unwind, PepsiCo stock could drop even lower.

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