Ulta Beauty Inc (NASDAQ:ULTA) stock is surging, after reporting strong fourth-quarter earnings that topped Wall Street estimates. The company posted earnings of $8.46 per share, easily surpassing the consensus estimate of $7.10. Revenue also came in ahead of expectations at $3.49 billion, exceeding the projected $3.46 billion.

Despite the solid earnings beat, the beauty retailer issued weaker-than-expected full-year guidance, citing rising competition, internal missteps, and consumer uncertainty as key challenges. The company expects comparable sales to be flat or rise just 1% in 2025, trailing analyst expectations for 1.2% growth. Additionally, Ulta forecast lower-than-expected profits for the year ahead, as it focuses on restructuring efforts and investing in long-term growth.

At last glance, ULTA was up 7.2% at $337, as it attempts to rebound from yesterday's pre-earnings slide to $328.45 -- its lowest level since May 2021. The equity pared its year-to-date deficit to 23%, though it remains down more than 40% over the last 12 months.

No less than 12 analysts cut their price targets after the event. Wells Fargo adjusted the lowest, moving from $360 to $310 -- an 8% discount to Ulta Beauty stock's current perch. Meanwhile, the consensus 12-month average price target of $424.88 is a 27.2% premium to ULTA's current level of trading, leaving room for additional price-target cuts.

Options traders are chiming in, with 6,782 calls and 6,363 puts exchanged so far today, which is 7 times the volume typically seen at this point. The most active contract is the weekly 3/14 350-strike call, where new positions are being opened.

E-commerce giant Amazon.com Inc (NASDAQ:AMZN) stock is down 2.4% to trade at $194, falling victim to the broad market capitulation. Despite an 11.6% year-to-date haircut, AMZN is holding its $2 trillion market cap level and a key trendline on the charts. 

The shares have remained popular among options traders amid the sharp pullback, landing on Schaeffer's Senior Quantitative Analyst Rocky White's list of stocks with the highest options volume in the past 10 days. In this period, over 4.7 million calls and more than 2.2 million puts were exchanged.

The weekly 3/14 200-strike call is the most popular, with options traders eyeing that psychologically-significant level. Right below $200 sits AMZN's 200-day moving average, a trendline the stock tested and could become a pivot point if reclaimed in the coming sessions.

Now looks like an great time to weigh in with options. This is per the stock's Schaeffer's Volatility Scorecard (SVS), which sits at a low 8 out of 100, making it a prime premium-selling candidate.

Software stocks are facing heightened volatility this week, with Adobe Inc (NASDAQ:ADBE), Datadog Inc (NASDAQ:DDOG), and Dynatrace Inc (NYSE:DT) all struggling due to disappointing earnings guidance, market-wide headwinds, and sector-specific pressures.

Adobe stock was last seen down 12.3% at $384.52 after issuing lackluster fiscal second-quarter guidance, projecting earnings of $4.98 on revenue of $5.8 billion, but the forecast failed to inspire confidence, dragging the stock 13% lower in 2025 and 32.6% lower over the last 12 months.

Datadog stock has also faced selling pressure since the start of the year, tumbling 8.2% after its early February fourth-quarter earnings report. The observability platform provider posted $737.73 million in revenue, though net income fell to $45.59 million. Broader market volatility, geopolitical tensions, and Trump’s increased tariffs on Canadian imports have further fueled uncertainty, leaving DDOG down 29.3% year-to-date. At last check, DDOG is off 1.6% at $100.39 for the session.

Dynatrace stock remains in a steady drawdown, now carrying an 11.2% year-to-date deficit after losing more than 21% in the last month. Shares have pulled back from their Feb. 12, three-year high of $63, though support at the $48 level has so far held firm. So far today, DT has shed 3%,now trading at $47.77.

All three major indexes are facing steep daily drops, with the Dow Jones Industrial Average (DJI) on track for its fourth-consecutive loss. New tariff threats from Trump -- now aimed at the European Union (EU) -- are weighing on the broader market.  Brushing off a better-than-expected inflations readings from the producer price index (PPI) and consumer price index (CPI), both the S&P 500 Index (SPX) and Nasdaq Composite (IXIC) are eyeing their third loss in four sessions. Jobs data also posted an upbeat weekly reading, coming in at 220,000 unemployment claims.

Continue reading for more on today's market, including: 

• Crypto giant lands analyst upgrade.
• Earnings win sends discount retail stock surging.
• Plus, homebuilder options pop; another Amazon affiliate win; and Reddit stock keep sliding.

Homebuilding specialist Lennar Corp (NYSE:LEN) is off 1.6% at $117.08 this afternoon, making ample noise in the options pits. While the catalyst for today's drop remains undetermined, earlier this week saw LEN suffer a downgrade at KBW. Options traders have been flooding the security, with 7,403 calls and 7,316 puts traded so far, representing 6 times the average daily pace. Most popular are the March 125 and 130 calls, with new positions opening at the former. Over the past 12 months, LEN has given back 26%.

Enjoying its best daily percentage pop since August, Fabrinet (NYSE:FN) is one of the top stocks on the New York Stock Exchange (NYSE) today, after the company said it gave a warrant to an Amazon.com (AMZN) affiliate to purchase as much as 381,922 shares. Today's jump has moved FN back above its year-to-date breakeven mark, though the equity is now contending with its 100-day moving average. At last check, FN is trading 10.1% higher at $222.26.

One of the worst stocks on the NYSE this afternoon is online questions thread Reddit Inc (NYSE:RDDT), last seen off 5.7% to trade at $122.85. While the catalyst behind today's drop is unclear, yesterday the equity suffered a $50 price-target cut to $200 by Raymond James. On Monday the shares fell to its lowest mark since October, and now carry a steep, 24% year-to-date deficit. 

1. Scalping: This involves executing multiple trades to profit from small price movements. Scalpers rely on quick decision-making and tight stop-loss orders to minimize risk.
2. Momentum Trading: Traders look for assets showing strong directional movement, using technical indicators to confirm trends before entering a trade.
3. Breakout Trading: This strategy focuses on identifying key support and resistance levels. When an asset breaks out of these levels, traders aim to capitalize on the ensuing momentum.

Automation software stock UiPath Inc (NYSE:PATH) is down 16.1% at $9.92 at last glance, and earlier hit a record low of $9.50, after the company's fourth-quarter revenue miss and disappointing fiscal 2026 guidance. During the call, CEO Daniel Dines pointed macroeconomic concerns, and BofA Global Research today downgraded the shares to "underperform" from "neutral," slashing its price target to $10 from $18. 

PATH is now down 58% year-over-year, and after a 34% post-earnings bear gap in May, has traded in a tight range. With this level breached, the bottom could fall out for the tech stock.

Over in the options pits, 20,000 calls and 19,000 puts have been exchanged so far -- eight times the overall options volume typically seen at this point. The June 9 put is the most popular, with new positions being bought to open there. 

Cybersecurity concern SentinelOne Inc (NYSE:S) was last seen down 4.1% at $18.49, though paring premarket losses of around 15%. S is brushing off better-than-expected fourth-quarter earnings and revenue after downbeat quarterly and annual forecasts.

Several analysts chimed in with price-target cuts after the event, including Needham to $23 from $32.  SentinelOne is down 33% in the last 12 months, and is today testing the May 30 closing level around $17.50

S has seen 9,678 calls and 4,113 puts cross the tape so far today, which represents five times the intraday average volume. The weekly 3/14 18.50-strike call is the most popular contract, with new positions opening at the 19 call in the same series. 

Discount retailer Dollar General Corp (NYSE:DG) is surging this morning, up 6% at $79.35, after reporting strong fourth-quarter earnings. The company posted earnings of $1.68 per share on revenue of $10.3 billion, exceeding Wall Street expectations. Despite plans to close 96 general stores and 45 pOpshelf locations this quarter, options traders are piling into the stock following the results.

Options volume is running hot, with 9,079 calls and 8,254 puts exchanged so far -- triple the average daily volume. The March 80 call and March 75 put are the most active contracts, with new positions being sold to open at the former.

Short-term buyers were circling puts ahead of the earnings release. This is per DG's Schaeffer's put/call open interest ratio (SOIR) of 1.18, which ranks in the 92nd percentile of its annual range.

Short sellers have been retreating, down nearly 18% over the past two reporting periods. This accounts for 4.8% of the stock's total available float, or almost three days' worth of pent-up buying power.

Today's outperformance has pushed DG back into the black for 2025, a welcome reprieve after the stock suffered a steep bear gap below $90 in late August. DG remains 50% lower year-over-year, and continues to face off with the resistant 160-day moving average.

IREN Ltd (NASDAQ: IREN) stock is climbing higher today after J.P. Morgan Securities upgraded the bitcoin mining name to "overweight" from "neutral." The firm believes IREN has been “overly punished” this year, creating an attractive entry point for investors. However, the analyst also cut its price target on IREN stock to $12 from $15.

In response, the shares were last seen 0.9% higher at $7.10 ahead of the open. The crypto mining sector has faced pressure in 2024, with bitcoin volatility and regulatory concerns weighing on sentiment, and IREN has already lost 28.3% year-to-date. On the charts, the stock is trading near its lowest levels since early September, though today's bounce could put it back above pressure at its 10-day moving average.

Short sellers have been piling on, with short interest up 8.1% in the last two reporting periods. The 22.25 million shares sold short account for 11.1% of IREN stock’s available float.

Options traders lean bearish, per IREN's Schaeffer's put/call open interest ratio (SOIR), which stands in the 80th percentile of annual readings. An unwinding of this pessimism could serve as a bullish catalyst.