In last evening’s Forcast Report, Hovnanian Enterprises (HOV) indicated a possible early long play from 4.10 to 4.16.
The stock hit a pre-market low of 4.10. A buy there, as measured to the day high of 4.25, is 3.7% in the black.
Tag Archives: HOV
Forecast Report: HOV Early Short Trade Nets 4%
In last evening’s Forecast Report, Hovnanian (HOV) offered a possible short trade entry target in the 4.10 to 4.00 range, a ceiling that developed through the late first-half and mid-session of night trade. More risk tolerant shorts were advised to test the waters closer to the 3.90 to 3.85 range.
HOV hit a pre-market high of 3.95. A sell there, as measured to the regular session low of 3.79, is a 4.2% winner. The stock did push through to a 4.17 regular session high. A sell there, measured to the afternoon low near 3.85, was 8% in the black.
Earnings This Week: National Semiconductor and American Eagle May Be Good Stock Plays
Investors are will still be focused on technical levels this week after the major averages breached their November lows last week, dropping to levels not seen since 1997. Fourth-quarter earnings reports are also coming to a close, moving attention toward the economy and rescue plans by the Treasury, Federal Reserve and Obama Administration.
However, a few earnings reports of note remain, including National Semiconductor (NSM) and Hovnanian Enterprises (HOV). Investors will also the latest retail sales figures for February.
On Wednesday, National Semiconductor is due with out with its fiscal third-quarter results before the market opens. The chip maker is expected to report a loss of five cents a share, compared with a profit of 28 cents a share a year ago, on revenue of $296.8 million, according to Reuters Estimates. The company guided for a weak third quarter, saying sales will be lower sequentially by about 30%. The stock has fallen 36% over the past 12 months and is bouncing around 2003 levels.
NSM has largely narrowed or reversed its extended-hours move the next day after an off-hours earnings report. Near-term, it has cut its extended-hours performance in three of the last four quarters. Investors betting long on this one may want to get out before the regular session. On December 8, the stock dropped 7.2% after its second-quarter missed estimates. Shares reversed course in the following regular session, however, finishing up 13.2%.
American Eagle Outfitters Inc. (AEO) is due with its fourth-quarter results ahead of the opening bell on Wednesday. Analysts polled by Thomson Financial expect the company to report a profit of 20 cents a share, 70% lower than a year ago, on revenue of $926.5 million. The teen apparel retailer said Thursday its February same-store sales fell 7 percent, less than analysts predicted, and said it still expects earnings per share in the fourth quarter of 19 cents a share.
This stock is one longs may want to take a second look at. In the last 15 earnings-driven extended-hours events MidnightTrader.com has tracked, AEO has followed through with more aggressive next-day, same-direction trade in its move in nine of 15 of the following regular-hours trading sessions. In the near-term, the stock favors a widening trend, adding to its extended-hours performance in the following regular session in two of the last four quarters.
