It’s not that unusual to see a stock move by 10%, especially during earnings seasons when change is expected. What’s odd is seeing the big capitalization stocks move that way. These are not low volume small caps subject to wild moves. These are the well-known name brands with large positions among Wall Street money managers.
The really odd thing this week is watching a good number of these stocks travelling up OR down by 10% or more. It’s hard not to think that the expectations for an interest rate cut don’t really matter that much. Also, that the big caps are not moving together — in one direction — as a group is notable.
5 S&P 500 Big Caps With 10% Gains or Losses This Week.
Bristol Myers Squibb (NYSE: BMY).
The drug manufacturer with a market capitalization of $102 billion increased in price by 18.32% this week. The stock is now back above its 50-week moving average. The 200-week moving average, which had been upward until late last year, is trending down for now. You can see where the 50-week crossed below the 200-week at the end of 2023, a heads-up for investors who were paying attention.
Ford (NYSE: F).
The market cap for the Henry Ford-founded automobile maker is $44.67 billion. This week’s 19.96% percent drop takes the equity back down to below both its 50-week and 200-week moving averages. Ford had just the previous week taken out its 2023 high, quite the reversal now. The 2022 low of $9 and the 2023 low of just above $9 are likely support levels.
MMM (NYSE: MMM).
Minnesota Mining and Manufacturing is market capitalized at $70.37 billion. The stock gained 22.36% this week on its better-than-expected earnings report which pleases big money analysts. Now trading well-above both its 200-week and 50-week moving averages, the next challenge may be the 2021 high near $150.
Super Micro Computer (NASDAQ: SMCI).
$41.71 billion is the market capitalization for this Nasdaq-traded AI-related favorite or maybe it’s “former favorite” now, we’ll see. Although the equity is down by 10.82% this week, it remains above both its up trending 50-week and 200-week moving averages. This is the very definition of a “hot stock:” up a lot and down a lot, in a short period of time.
United Parcel Service (NYSE: UPS).
With a market cap of $110 billion, the freight and logistics company missed expectations this week and the stock plunged 11.26%. Note that the 50-week moving average in February had crossed below the 200-week moving average, a forewarning of issues. UPS now trades below both significant moving averages, not ordinarily a good sign.
Stats courtesy of FinViz.com. Charts courtesy of Stockcharts.com
No artificial intelligence was used in the writing of this post.
Additional analysis and commentary at johnnavin.substack.com.
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