Investors are “projecting a 6.5% one-day move after Apple’s earnings report on Thursday, which compares with the iPhone maker’s average swing of 3.8% in the last eight quarters,” Banerji reports. “The estimates don’t indicate which direction shares might sway, just the magnitude of the move. The percentages are derived from an options trade known as a straddle, which entails buying both bullish and bearish contracts that can be exercised at the same price for the stock.”
“Some companies have posted big gains rather than losses. Twitter Inc. shares jumped 15.5% on Thursday — its biggest single-day increase in a year — after reporting earnings,” Banerji reports. “Electric carmaker Tesla Inc. rallied 9.1% on Thursday after its quarterly results, while Netflix Inc. shares jumped 5% the day after its Oct. 16 report.”
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MacDailyNews Take: Which way will it go?
All eyes on Apple’s earning this Thursday – October 29, 2018