The stock market was squarely lower in morning trade Tuesday with heavy losses on the Dow Jones industrial average. IBD 50 stock Grubhub (GRUB) plunged 9% in the stock market today. Meanwhile, Apple (AAPL) stock rose almost 1% ahead of its fiscal Q2 results after the close.
The Dow Jones industrial average lagged the major indexes with a nearly 1% fall. The tech-heavy Nasdaq and the S&P 500 fell 0.2% and 0.4%, respectively.
McDonald’s gave back a portion of Monday’s nearly 6% advance, as it dropped over 2%. The fast food chain is forming the right side of a potential base.
After the market close, Apple will report its fiscal Q2 results. The iPhone maker is expected to earn $2.69 per share on revenue of $61.1 billion. Shares have been under pressure in recent weeks amid concerns about the company’s iPhone sales. Apple stock rose nearly 1%, as it tries to maintain its long-term 200-day moving average line.
On the upside, chipmaker Intel (INTC) moved up 0.5%. Despite two past days of heavy selling, shares are holding onto their 50-day line. Last week, the company reported strong earnings and sales results that boosted the stock above a 53.88 flat-base entry. Shares are about 3% below that level.
Among companies reporting earnings, Shopify (SHOP) declined 10% despite announcing better-than-expected results. The stock is trying to shape the right side of a potential base, but found stout resistance at the 50-day line.
Meanwhile, Under Armour (UAA) dropped 6% after its Q1 results. Shares had been building a choppy base with an 18.85 entry, but now that level is further out of reach. The stock is falling below its 50-day line.
Inside The IBD 50
Among leading growth stocks, Grubhub faltered 9% in early trade Tuesday. The food delivery service announced earnings and sales that topped analysts estimates, but came up short on its “daily average grubs,” or average number of orders per day.
On the upside, Warrior Met Coal (HCC) advanced nearly 3%, as the stock tried to regain its 50-day line. The stock is building the right side of a potential later-stage base.