Retail stocks Macy's Inc (NYSE:M) and Dollar Tree Inc (NASDAQ:DLTR) are staging opposite post-earnings reactions today.
M is up 18.7% to trade at $16.01 at last glance, after the company reported better-than-expected second-quarter results. Macy's also raised its full-year profit and sales guidance amid improving sales trends. The security is now pacing for its best single-day percentage gain since 2023 and earlier hit its highest level since January, breaking past resistance at $14. In the last three months, M has added 40.2%, though it's still down 5.3% year-to-date.
DLTR was last seen down 7.9% at $102.58, brushing off a second-quarter earnings beat and hiked full-year guidance. Though more consumers are looking for discounted goods, the retailer issued a disappointing third-quarter profit forecast due to tariffs. Shares are eyeing their worst day since June 4 and slipping below support at the 60-day moving average, but still sport a 36.8% year-to-date lead.
Traders are targeting both equities in the options pits today, with overall options volume for M and DLTR running at 15 and 12 times what's typically seen at this point, respectively. For the former, the weekly 9/5 12-strike call is the most active contract, while the weekly 9/5 100-strike put is leading the way for the latter, with new positions being opened at both.
