Eastman Kodak (EK) Shares Plunge 5.95% as Macro Fears and AI Exodus Spark Profit-Taking

Eastman Kodak shares plummeted 5.95% in pre-market trading on Nov. 12, 2025, signaling heightened investor caution amid shifting market dynamics and sector-specific pressures. The sharp decline, the most significant pre-market move in months, reflects a combination of profit-taking following recent gains and broader macroeconomic uncertainties weighing on equity markets.

Analysts suggest the drop may be linked to evolving investor sentiment toward legacy technology stocks, as markets increasingly pivot toward AI-driven and cloud-focused equities. Kodak’s recent strategic pivot toward digital imaging and cybersecurity has yet to fully materialize in earnings visibility, leaving some investors unconvinced about medium-term growth prospects.

Technical indicators show the stock has broken below critical support levels, raising concerns about potential further declines. The 200-day moving average now acts as a key psychological threshold, with a breach likely to trigger additional stop-loss activity and amplify downward momentum in the near term.

Backtest scenarios suggest a bearish bias remains intact, with RSI and MACD divergences pointing to extended volatility. Traders are advised to monitor the $50 level as a near-term floor, while longer-term positioning depends on the company’s ability to execute its digital transformation roadmap credibly in Q4 earnings disclosures.

A hypothetical long/short strategy based on recent price action would prioritize short-term risk management, with stop-loss orders placed below $48 to mitigate rapid liquidation risks. Position sizing should reflect the stock’s elevated beta coefficient amid a risk-off market environment.