PayPal Holdings Inc (NASDAQ:PYPL) stock is gapping to nine-year lows, last seen down 18.2% to trade at $42.82. Should this price action hold, it will be the stock's second largest single-day percentage drop on record, the first being a 24.6% post-earnings loss on February 2, 2022. Pacing for its eighth-straight drop, the equity is now down 51.7% year over year.
The company's disappointing fourth-quarter results are weighing on the shares today, with profits of $1.23 per share and revenue of $8.68 billion both missing estimates. A surprising C-suite shakeup is affecting the stock as well, as the fintech icon is replacing CEO Alex Chriss with HP CEO Enrique Lores, effective March 1.
The drawdown and losing streak has PYPL's 14-Day Relative Strength Index (RSI) deep in oversold territory at 13.5, its lowest reading in nearly two years.
Over in the options pits, 197,000 calls and 134,000 puts have been exchanged so far today -- 2.4 times the average daily options volume already. The weekly 2.6 45-strike call is the most popular, with new positions being opened there.
