Jul. 29 at 4:04 PM
$AAP $UNH So you’d consider today to be a “bloodbath” for UNH? Anyway, you logic is so flawed that it could be an LSAT question. Yes, obviously sentiment on this stock has been poor. But to say that the way it has traded heading into earnings means you can predict how it will react after is complete nonsense. By agreeing to that logic you’re essentially saying that a stock that has fallen going into a report will always fall after the report. That is complete NONSENSE.
There was a real chance that guidance wasn’t as poor as expected, and that would’ve resulted in a pop. Common sense. This is exactly what happened with
$AAP. It diverged from market, poor sentiment heading into the report, and then it popped 50%.