Options Market Statistics: Pfizer's Stock Surges as Paxlovid Sales Surprise, Options Pop

Morgan Stanley reported that Starbucks delivered a weaker performance in fiscal Q2 than expected, describing it as a "historically weak quarter." The company's growth forecast for the fiscal year has been downgraded, with Morgan Stanley suggesting improvement might not be seen until the following year. U.S. same-store sales fell by 3%, more than double the anticipated decline, while sales in China dropped by 11%, significantly below expectations. The operational margin was also lower than forecasted at 12.8%, and earnings per share fell short at $0.68 versus the expected $0.80. Starbucks now expects flat to marginally negative same-store sales in the U.S. and worldwide, coupled with a slowdown in global store expansion to about 6%. Consequently, the company's total revenue growth projection has been revised to low single digits.

The pharmaceutical company reported first-quarter results that exceeded analyst expectations, leading to a 6.09% increase in its stock price to close at $27.18. This marked the largest percentage rise since November 26, 2021. Despite a 20% decline in quarterly sales to $14.9 billion, primarily due to reduced Covid-19 vaccine revenue, sales of non-Covid products grew by 11%. JPMorgan Chase analysts noted the strong revenue was driven by solid Paxlovid sales and other prescription drugs performing as expected. The company also raised its earnings-per-share guidance for the year. Pfizer's CEO, Albert Bourla, expressed his belief that the company's stock is currently undervalued but remains optimistic about future valuation improvements.