10 stocks rose more than 50% during the last month. In the beginning of their move, there was a catalyst driven liquidity expansion.
Announced that its main product performed better than expected on tests and new orders are coming.
Catalysts: on Nov 3th, SNIC announced a strategic alliance with Best Buy. 2 days later SNIC reported an EPS of 0.01 vs expectations for a loss of 5 cents per share.
Previously neglected stock, crushed all expectation on Oct. 29th, AH. REV reported Q3 EPS of .45 vs an estimate for a loss of (.16). This is huge surprise and this why REV was one of the few stocks that were rising in the end of October on the background of weak market. Revenue for the quarter was 326m vs 313m expectations.
On October 27th, AH, QTM EPS of 0.06 vs an estimate of 0.04. Revenue was 175m vs expectations for 164m. Favorable market reaction on the report, followed by a healthy correction to a rising 10dma and bounce from there fueled by several analysts' upgrades.
What a crazy move: from .70 to 4.40 in a week due to news of launching the world's first 16gb, 2 rank memory module. Stock are bought on expectations for potential future earnings. Apparently they were enough people, who believed that this company can be acquired soon or receive new contracts. It doesn't matter how much you think your stock is worth. If the market is willing to pay you $5, it is worth $5.
NANO is among the best performing stocks YTD. Announced several new contracts during the year. On Oct 29th it reported a Q3 EPS of .08, 14 cents better than the consensus estimate of (.06). Revenue was 25.8m vs est. of 21m. There has been huge interest in the stock lately, as noted by the price and volume action, due to new contract that the company announced on Thursday.
CYD is a Chinese diesel engine producer. On Nov 10th they reported EPS of .98 vs .16 in Q2 same year. They didn't compare to the results of the same quarter last year. As they admit, their report was unaudited. They sold less engines in Q3 compared to Q2 ( 115k vs 130k), but realized higher net income due to better margins. I am fascinated by the huge investors' interest in all Chinese stocks. I don't trust their unaudited reports and for me they are only good for a trade, but not for an investment. As traders say, only price pays and it doesn't matter if you make 50% in a Chinese or an American stock.
Previously neglected Chinese stock that acquired stake in several Chinese solar plants. I have no idea why, but starting middle October, there was huge demand for this stock.
In 2009 CAAS has been consistently beating analysts' earnings expectations and guided higher, therefore it wasn't a surprise when market participants started to buy the stock in expectation of another market surprise. They weren't disappointed and on Nov 12th, AH CAAS reported Q3 EPS of .28, which is 13 cents higher than the consensus estimate. Revenue for the quarter was 65m vs 53m expected. When a stock rises significantly in expectations of earnings, it means that the market is trying to price in the so called surprise and once the news is out, it often follows a sell off. In this case, CAAS is holding remarkably well, despite being remarkably extended.
Oct. 27th, AH: WSII reports Q3/09 EPS of .15 vs analysts' estimate of .11 and Q3/08 EPS of 0.08. Revenue for the quarter was 112.46 vs 112.1 expected.
0 Comments:
Post a Comment