Upbeat Earnings Spark Stock Rally
Visa and Home Depot are guiding the Dow higher
The Dow Jones Industrial Average (DJI) is pushing higher at midday, thanks to a post-earnings rally from Visa (V) and a strong move from Home Depot (HD). Chipotle (CMG) -- the best S&P 500 Index (SPX) stock today -- and Facebook (FB) continue to gain after earnings, as well, lifting equities across the board. A dip below the 3% mark from the 10-year Treasury yield is likely only adding to the risk-on backdrop. As such, the Dow is set for a second straight up day, throwing support behind this historical buy signal.
Continue reading for more on today's market, including:
Big-cap chip stock set for its worst losing streak in two years. 2 reasons Tesla stock is lower today. Plus, Facebook options bull scores multi-million-dollar win; a software stock a new highs; and Lendingtree axed down.
Facebook Inc (NASDAQ:FB) options volume is unsurprisingly accelerated today as the stock rallies after earnings, last seen trading up 8.3% at $172.93. But it's worth calling attention to one trader who bought 11,000 July 175 calls for $3.50 each. These calls have more than doubled, and as such, this trader is now sitting on roughly $4 million in paper profits, according to Trade-Alert. Sentiment among options traders had actually been somewhat bearish on FB before earnings.
One of the best performing Nasdaq stocks today is Citrix Systems, Inc. (NASDAQ:CTXS), thanks to upbeat earnings. CTXS shares earlier hit a record high of $102.88, and were last seen trading up 5.4% at $101.84. They've added 21% year-over-year, but analysts remain mostly bearish.
Lendingtree Inc (NASDAQ:TREE), on the other hand, is one of the worst Nasdaq stocks today. Shares of the lending company have plummeted 13.4% to trade at $265.85 -- putting them on pace for their lowest settlement since mid-November and the first below their 200-day moving average in over a year. The sell-off comes after the company reported lower-than-expected adjusted first-quarter profit, though revenue beat.
