Gannett put options are flying off the shelves after a downgrade
The Dow is higher today, as an upbeat jobs report overshadows new tariffs between the U.S. and China. Three stocks making big moves today are newspaper titan Gannett Co Inc (NYSE:GCI), biopharmaceutical issue AC Immune SA (NASDAQ:ACIU), and digital communications concern Black Box Corporation (NASDAQ:BBOX). Below, we will take a closer look at how shares of GCI, ACIU, and BBOX are trading on the charts.
Downgrade Sends GCI Stock Lower, Draws Option Bears
Gannett stock is down 7.7% to trade at $10, at last check, after J.P. Morgan Securities reportedly downgraded the media issue to "underweight" from "neutral." As such, GCI shares are set for their worst day since Feb. 20, when the equity gapped lower after earnings. Further, the stock is pacing for its first close beneath its 80-day moving average in nearly two months.
While GCI is on the short-sale restricted (SSR) list today, quite a few bears are likely cheering the dip. Short interest surged nearly 24% in the most recent reporting period, and now accounts for 18% of Gannett's total available float. Meanwhile, GCI put options are flying off the shelves at 91 times the average intraday pace, already touching an annual high of nearly 650 contracts. It looks like traders are buying to open the August 10 put, to bet on GCI shares falling to single-digit territory before August options expiration.
ACIU Enjoys Halo Lift from Alzheimer's Drug Data
Biogen (BIIB) stock is in rally mode today, after the company reported upbeat mid-stage study data for its Alzheimer's drug. As such, the shares of several other companies with Alzheimer's treatments in the works are higher today, including AC Immune. Specifically, ACIU stock has rocketed 34.4% higher to sit at $12.50, and is on track for its biggest one-day percentage gain ever. Further, ACIU earlier notched a new annual high of $14 -- a level that acted as a speed bump earlier this year.
A short squeeze could propel the pharma stock even higher. Short interest represents nearly 64 days' worth of pent-up buying demand, at AC Immune stock's average pace of trading.
Penny Stock BBOX Surges on Social Media Partnership
Black Box said it received $10 million for partnering with an unidentified social media company on its global data center expansion. Further, the partnership could result in $300 million or more for Black Box -- "one of the largest projects ever" for the firm, and what "promises to be only the tip of the iceberg," the company said.
BBOX shares were last seen 72.6% higher to trade at $1.64 -- the biggest percentage gainer on the Nasdaq. Earlier, the stock peaked at $1.87 -- nearly double yesterday's close of 95 cents. During Tuesday's shortened session, BBOX stock fell to an all-time low of 75 cents, after the company warned that it will miss the deadline to file its annual 10-K. Even with today's bounce, the equity remains more than 50% lower year-to-date, and has shed close to 80% of its value in the past year.