Thursday's theme was clear: beating estimates doesn't guarantee gains. Broadcom shed $285 billion in market cap after its revenue outlook disappointed, sending shares down 12%. It ranks as one of the largest single-day valuation wipeouts on record. Options traders piled in with bearish positions stretching to August.
DocuSign beat and raised in Q1, yet shares fell regardless. Short interest has crept up to 8.7% of free float. Rubrik and Guidewire Software saw the same pattern — beats punished by a market demanding more.
Lululemon fell on a weak outlook. The company cited fresh headwinds. Bears have taken note, and the stock now faces sector-wide consumer discretionary pressure.
Not everything is under pressure. CrowdStrike dominated analyst desks. UBS raised its target to $790 from $525. Macquarie lifted to $660 from $400. The consensus figure jumped 21% to $690. Short interest sits at just 2.97% of free float — bears are largely absent here.
European stocks were volatile. Ukraine ratifying the $105 billion EU loan deal boosted defense names. Stellantis faces a June 8 class action securities deadline. Investors in Asian markets were buoyed by US-Iran diplomacy.
Wolfspeed carries 114.6% short interest as a percentage of free float. Zero shares remain available to borrow. Short covering has been fast. A squeeze is still a live risk. Dave saw a 10-point spike in short interest in one week, hitting 30.5%.
ORTEX Market Intelligence content is generated by AI from a snapshot of ORTEX's proprietary data. Content is informational only and does not constitute investment advice.
