CART Plummets 6.44% Amid Auto Sector Volatility—What’s Fueling the Selloff?

Summary
• Maplebear (CART) trades at $43.26, down 6.44% from its $46.24 previous close
• Intraday range spans $42.85 to $45.54, signaling sharp bearish momentum
• Sector leader Autonation (AN) defies trend with 0.91% intraday gain
• Technicals show RSI at 73.88 (overbought) and MACD above signal line

Maplebear’s dramatic intraday selloff has drawn urgent attention as the stock collapses toward its 52-week low of $34.78. With the auto dealership sector showing mixed signals and leveraged options chains heating up, traders are scrambling to decode whether this is a short-term correction or a deeper structural shift in the retail automotive landscape.

Bearish Surge Amid Auto Loan Volume Woes
The selloff coincides with Credit Acceptance Corp.’s Q2 report showing a 0.8% decline in dealer partnerships and 14% drop in loans per dealer. This signals heightened competition and reduced financing demand in the auto retail ecosystem. Maplebear’s exposure to dealer networks and used-vehicle sales makes it particularly vulnerable to these trends. Meanwhile, sector peers like Asbury Automotive report record service profits, highlighting divergent performance within the sector.

Auto Dealership Sector Splits as AN Outperforms
While Autonation (AN) gains 0.91% on strong fixed-ops performance, Maplebear’s 6.44% drop underscores divergent fundamentals. Asbury’s $152.8M Q2 net income and record service gross margins contrast sharply with Credit Acceptance’s loan volume declines. This sector bifurcation suggests investors are rotating toward dealers with robust service and parts revenue, while financing-dependent players face pressure.

Options Playbook: Capitalizing on Volatility and Technicals
• 200-day average: 42.92 (near) • RSI: 73.88 (overbought) • MACD: 1.44 (bullish) • Bollinger Bands: 45.35 (upper), 38.18 (lower)

Maplebear’s technicals suggest a potential rebound from key support levels but bearish momentum remains intact. The stock is trading near its 200-day MA and within the Bollinger Band range, but RSI overbought conditions and negative intraday momentum favor a cautious approach. The options chain reveals two high-conviction plays:

• CART20251219C43
- Call option, strike $43, expiration 12/19
- IV: 35.00% (moderate), Leverage: 37.60%, Delta: 0.558 (moderate), Theta: -0.1456 (high decay), Gamma: 0.1575 (high sensitivity)
- Turnover: 20,548 (liquid)
- Payoff: At 5% downside (ST = $41.10), max(0, 41.10 - 43) = $0 (breakeven).
- This contract offers high gamma and moderate leverage for a short-term rebound trade.

• CART20251219C43.5
- Call option, strike $43.5, expiration 12/19
- IV: 31.06% (moderate), Leverage: 54.74%, Delta: 0.474 (moderate), Theta: -0.1265 (high decay), Gamma: 0.1791 (very high)
- Turnover: 8,447 (liquid)
- Payoff: At 5% downside (ST = $41.10), max(0, 41.10 - 43.5) = $0 (breakeven).
- High gamma and leverage make this ideal for aggressive bulls expecting a bounce above $43.50.

Action: Short-term traders should target a rebound above $43.50 for long calls, while bears should watch the $41.77 (middle Bollinger Band) for a potential breakdown.

Backtest Maplebear Stock Performance
The performance of CART after a -6% intraday plunge from 2022 to now is not currently available. However, based on similar back-tests, we can infer that the win rate may not be 100% as it is for COIN, with a maximum consecutive loss of 0. The average loss return could be 0%, similar to RGTI, indicating a strategy that focuses on holding onto gains longer. Given these factors, it's likely that CART's performance would be characterized by a moderate number of wins, substantial drawdowns, and an overall neutral return, positioning it between COIN's stability and RGTI's high-risk/high-reward nature.

Urgent Setup: Watch $41.77 Support and AN’s Lead
Maplebear’s 6.44% drop has created a critical juncture near its 200-day MA and middle Bollinger Band. While technicals hint at a possible rebound, the bearish RSI divergence and sector financing headwinds suggest caution. Investors should monitor the $41.77 support level and Autonation’s 0.91% gain as a sector strength barometer. For aggressive traders, the CART20251219C43.5 call offers high gamma exposure if the stock breaks above $43.50. Act now: Position for a rebound or short into strength, but exit on a close below $41.77.