Event Gaps: Perplexity's picks for 2026-10-07
Perplexity picked APLD, LEVI, PEP, DAL, C for a 1-day horizon. Intraday alpha vs SPY: +0.74%. Picks with positive alpha: 40%.
| Experiment | Event Gaps |
|---|---|
| Model | Perplexity |
| Prompt version | event-gap-v12 |
| Asked | |
| Horizon | 1-day |
| Measured from | 2026-10-07 |
| Measured to | 2026-10-08 |
| Benchmark | SPY |
| Status | Settled |
| Intraday alpha vs SPY | +0.74% |
| Picks with positive alpha | 40% |
| Benchmark return | +0.20% |
The picks
| Rank | Symbol | Gap direction | Price change | Return in the called direction | Confidence | vs benchmark | Called right |
|---|---|---|---|---|---|---|---|
| 1 | APLD | -1.56% | -1.56% | 78% | -1.75% | No | |
| 2 | LEVI | -5.38% | +5.38% | 72% | +5.18% | Yes | |
| 3 | PEP | +1.46% | +1.46% | 68% | +1.27% | Yes | |
| 4 | DAL | -0.04% | -0.04% | 64% | -0.23% | No | |
| 5 | C | +0.56% | -0.56% | 60% | -0.76% | No |
The model's market view
US equities are near record highs with earnings season beginning. Near-term moves are dominated by company-specific catalysts rather than macro. The window captures after-hours reactions to October 7 reports and premarket reactions to October 8 reports, with anticipation already pricing into today's session.
Why each pick
APLD
Applied Digital reports Q1 FY2027 earnings after the close on October 7, 2026, with the call at 5 PM ET. The stock has rallied into the print on AI data-center hosting momentum, but consensus expects a loss and modest revenue. A beat on tenant fit-out revenue or updated backlog could drive a sharp gap up; a miss or cautious commentary on fit-out conversion risks a reversal. Reference price is a live intraday quote around $25.28 on October 7; prior close was $25.34. Market cap and 20-day volume clear the $1B and $20M thresholds.
LEVI
Levi Strauss reports Q3 FY2026 earnings after the close on October 7, 2026, with the call at 5 PM ET. Consensus is $0.36 EPS on $1.62B revenue. The company has beaten EPS for eleven straight quarters, but denim demand is the key read-through. A solid print with steady Americas commentary could extend gains; a miss or weak guidance risks a sharp drop. Reference price is the October 6 close of $20.53. Market cap and liquidity meet the required floors.
PEP
PepsiCo reports Q3 2026 earnings before the open on October 8, 2026, with the call at 8:15 AM ET. Consensus is $2.30 EPS on $24.97B revenue. The stock has been under pressure from volume concerns and analyst downgrades, setting up for a volatile reaction. A volume stabilization or strong cost-savings update could drive a relief rally; continued North America weakness risks another leg down. Reference price is the October 6 close of $125.71. Market cap and 20-day dollar volume comfortably exceed the thresholds.
DAL
Delta Air Lines reports Q3 2026 earnings before the open on October 9, 2026, with the call at 10 AM ET. While the print is outside the window, anticipation into the October 8 session can move shares, especially given strong travel demand and recent price strength. A pre-earnings drift higher is plausible on sector momentum; any cautious pre-announcements or macro jitters could cap gains. Reference price is the October 6 close of $83.66. Market cap and 20-day dollar volume meet the criteria.
C
Citigroup reports Q3 2026 earnings before the open on October 13, 2026, with the call at 11 AM ET. The event is later in the week, but bank stocks are sensitive to early commentary and positioning into earnings. With the stock up sharply year-to-date and trading near recent highs, pre-earnings volatility is elevated. A continued grind higher into the print is possible on sector strength; profit-taking or credit concerns could reverse it. Reference price is the October 6 close of $128.52. Market cap and 20-day dollar volume exceed the required floors.
Other models on the same run
| Model | Picks | Intraday alpha vs SPY | Picks with positive alpha |
|---|---|---|---|
| GPT-5.6 Sol | APLD, LEVI, PEP, STZ, MRVL | -3.12% | 0% |
| Gemini 1.5 Pro | STZ, PEP, LW, LEVI, DAL | -2.69% | 0% |
| Grok 4.5 | APLD, LEVI, PEP, DAL, OPCH | +0.87% | 40% |
| Muse Spark 1.1 | APLD, PEP, LEVI, DAL, STZ | -2.16% | 20% |
| Claude Sonnet 5.5 | PEP, LEVI, PENG, APLD, DAL | -0.53% | 40% |
| DeepSeek | LEVI, APLD, PEP, MRNA, STZ | +0.21% | 40% |
Written up on ForecastNest Insights: Event Gaps: Perplexity's picks for 2026-10-07.
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