Analyst: This Amazon Rival Could Drop Another 37%

By Karee Venema / February 26, 2019 / www.schaeffersresearch.com / Article Link

Wall-and-BroadThe stock is down almost 8% today

While the U.S. stock market is struggling for direction today, there are several individual names making notable moves, including big-cap bank JPMorgan Chase & Co. (NYSE:JPM), nutritional supplement retailer Vitamin Shoppe Inc (NYSE:VSI), and document database provider MongoDB Inc. (NASDAQ:MDB). Here's a quick roundup of what's moving the shares of JPM, VSI, and MDB.

JPM Stock Finds Support Atop Key Trendline

JPMorgan Chase stock is down 1.2% at $104.80, after the financial firm at its annual investor day warned of rising costs related to deposits and potential risks, including uncertainty around global trade and Brexit. Nevertheless, today's downside is being contained by JPM's 80-day moving average -- a former layer of resistance that appears to be switching to a more supportive role.

Today's options traders are targeting this region, too. The weekly 3/1 105-strike call is JPM's most active options so far today, where there appears to be a mix of buy- and sell-to-open activity occurring. Call buyers expect the stock to rally above the strike by week's end, while sellers are betting $105 serves as a short-term ceiling for the equity.

Vitamin Shoppe Extends Impressive Gains After Earnings

Vitamin Shoppe stock is up 25.1% at $7.20, after the company reported a slimmer-than-expected fourth-quarter loss and a wholesale agreement with the Navy Exchange Service Command. The shares are now headed toward their first close above their 320-day moving average since Dec. 7, and have gained almost 55% month-to-date.

Options volume has exploded on VSI, too, with 4,089 puts and 838 calls on the tape -- 10 times what's typically seen at this point. The August 5 put is most active, where it looks like speculators may be buying to close their positions. A number of these options were sold to open earlier this month.

MongoDB Stock Sinks on Lyft Woes

Nomura Instinet reiterated its "reduce" rating and $63 price target on MongoDB, saying Lyft is "quite dissatisfied" with the database operator. This follows earlier reports from Amazon that the ride-sharing service is "going all-in" on Amazon Web Services (AWS). Against this backdrop, MDB stock is down 7.6% at $99.69, set to snap its four-day win streak.

Just yesterday, MongoDB shares tagged a record high of $109.97, but today's options traders are targeting even bigger losses for the stock. Amid accelerated volume -- the 5,800 contracts traded so far is three times what's typically seen at this point -- buy-to-open activity has been detected at the March 90 and 100 puts.

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