Sunrun Inc. (NASDAQ: RUN) shares plummeted 5.01% in Thursday's intraday trading session, underperforming the broader market as investors braced for a potential earnings disappointment from the solar energy company.
The stock's decline came amid a mixed day on Wall Street, with the S&P 500 and Nasdaq slipping into negative territory while the Dow Jones Industrial Average remained in positive territory. Investors digested a slew of economic data, including rising jobless claims and a drop in pending home sales, fueling concerns about potential stagflation.
According to pre-earnings options volume data, the market seems to be anticipating a significant move in Sunrun's share price following its earnings release scheduled for Thursday after the closing bell. With calls leading puts 2:1, the implied volatility suggests the market is pricing in a potential move of around 10.4% in either direction.