2 Stocks Surging After Earnings This Morning

Options traders are crowding both LLY, MMM after the company’s upbeat earnings

Stocks are lower across the board today, but don’t blame Eli Lilly And Co (NYSE:LLY) and 3M Co (NYSE:MMM). The drugmaker and blue-chip are up 7.3% and 2.9%, respectively, after each company reported upbeat first-quarter earnings this morning. 

LLY was last seen trading at $777.43, on track for a third-straight win and best single-session pop since February 5. The pharmaceutical giant’s raised profit and revenue forecasts for 2024 are what’s driving the gains today. Eli Lilly stock is now up 33.6% in 2024, with support stepping up recently at their 80-day moving average. 

At last check, over 27,000 calls have changed hands, volume that’s eight times the average intraday amount and nearly double the number of puts traded. The weekly 5/3 800- and 830-strikes are the most popular, with buy-to-open activity detected at each. 

MMM is trading at $96.05 at last check, earlier hitting a new 52-week high of $96.90. The industrial conglomerate noted that price hikes helped secure the profit beat and offset the impact of slower sales. The shares are building some distance from their year-to-date breakeven level, with support from their ascending 30-day moving average since an early-March bull gap. 

Already today, 11,000 calls have been traded, compared to just 4,800 puts. Weeklies are again popular, with the 5/3 97- and 100-strikes leading the charge. There’s also notable activity at the June 100 call. 

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