Best Buy (BBY) is scheduled to unveil its fourth-quarter results Thursday morning, with analysts anticipating a profit of $1.85 per share -- little changed from the big box retailer's year-ago earnings of $1.82 per share. Best Buy has been hot-and-cold on the earnings front; during the past four quarters, the company has topped consensus bottom-line estimates twice, and fallen short on two other occasions.

Ahead of the quarterly report, one options player built a bullishly biased spread on BBY. Right after the opening bell Wednesday morning, the trader purchased 358 April 32 calls, and simultaneously sold 716 April 35 calls. In other words, two April 35 calls were sold for every one purchased April 32 call. This strategy is known as a ratio call spread, and it's typically used by traders who are bullish on the underlying equity -- but with a very specific upside target in mind.

Continue reading Best Buy Singled Out for a Ratio Call Spread Ahead of Earnings

Best Buy Singled Out for a Ratio Call Spread Ahead of Earnings originally appeared on BloggingStocks on Wed, 23 Mar 2011 19:20:00 EST. Please see our terms for use of feeds.

Online marketing specialist ValueClick (VCLK) is scheduled to unveil its fourth-quarter earnings after Tuesday's closing bell. Ahead of the announcement, analysts surveyed by Thomson Reuters are anticipating a profit of 23 cents per share, on average, which would represent an improvement over ValueClick's year-ago earnings of 18 cents per share.

ValueClick has a strong history in the earnings spotlight, having surpassed analysts' bottom-line expectations in each of the past four quarters. However, a quick scan of the stock's sentiment backdrop reveals a nearly palpable pessimism among both traders and analysts.

Continue reading ValueClick Earnings Preview

ValueClick Earnings Preview originally appeared on BloggingStocks on Tue, 15 Feb 2011 12:00:00 EST. Please see our terms for use of feeds.

Cosmetics giant Avon Products (AVP) unveiled its fourth-quarter earnings this morning, and the results fell short of Wall Street's expectations. AVP's quarterly profit slipped 15% to $229.5 million, or 53 cents per share. Excluding restructuring expenses, earnings from continuing operations declined to 59 cents per share from 68 cents in the year-ago quarter. Revenue rose 1.2% to $3.18 billion.

By contrast, analysts were looking for a profit of 67 cents per share on revenue of $3.28 billion. AVP's fourth-quarter performance was negatively impacted by currency fluctuations, as well as higher product costs.

Continue reading Avon Products Pulls Back After Q4 Report

Avon Products Pulls Back After Q4 Report originally appeared on BloggingStocks on Tue, 08 Feb 2011 10:00:00 EST. Please see our terms for use of feeds.

Shares of Level 3 Communications (LVLT) have taken a turn for the worse, after the firm's fourth-quarter earnings report landed with a thud. The company confessed to a net loss of $52 million, or 3 cents per share, narrowed from its year-ago deficit of $182 million, or 11 cents per share. Revenue for the quarter declined to $921 million from $924 million.

The results actually surpassed Wall Street's consensus forecast, which called for a net loss of 10 cents per share on revenue of $920.1 million. However, traders seem none too pleased with Level 3's earnings performance, as the stock plummeted roughly 7% Wednesday morning. In particular, it seems the market may be taking issue with Level 3's warning that it expects free cash flow to be negative for fiscal 2011.

Continue reading Level 3 Dives Following Earnings Release

Level 3 Dives Following Earnings Release originally appeared on BloggingStocks on Wed, 02 Feb 2011 11:30:00 EST. Please see our terms for use of feeds.

Shares of Patriot Coal (PCX) surged to a new annual high of $27.54 right out of the gate Tuesday, as traders cheered the energy issue's latest quarterly report.

Patriot announced that its fourth-quarter net profit dwindled 33% to $7.3 million, or 8 cents per share, from its year-ago results of $10.9 million, or 12 cents per share. Revenue for the quarter climbed 5% to $528.2 million, but selling and administrative expenses swelled 35% to $14 million. Likewise, Patriot's operating cost per ton increased 9.5% to $55.70.

Continue reading Patriot Coal Climbs Higher Despite Q4 Revenue Miss

Patriot Coal Climbs Higher Despite Q4 Revenue Miss originally appeared on BloggingStocks on Tue, 01 Feb 2011 11:30:00 EST. Please see our terms for use of feeds.

Juniper Networks (JNPR) is on the upswing, with the stock catching a 6% boost Wednesday morning on the heels of a well-received fourth-quarter earnings report. Juniper reported a quarterly profit of $190.2 million, or 35 cents per share, substantially improved from its year-ago results of $22.9 million, or 4 cents per share. Excluding items, earnings improved to 42 cents from 32 cents per share on a year-over-year basis.

Meanwhile, revenue for the quarter increased 26% to $1.19 billion. Gross margin retreated slightly, falling to 66.6% from 67.1%.

Continue reading Juniper Networks Jumps Higher After Q4 Earnings Beat

Juniper Networks Jumps Higher After Q4 Earnings Beat originally appeared on BloggingStocks on Wed, 26 Jan 2011 12:00:00 EST. Please see our terms for use of feeds.

Blue-chip burger baron McDonald's (MCD) was in focus Monday morning after the company unveiled its fourth-quarter earnings. The fast-food chain reported net income of $1.24 billion, or $1.16 per share, slightly improved from its year-ago profit of $1.22 billion, or $1.11 per share. Revenue for the quarter climbed 4% to $6.21 billion.

The fourth-quarter results were more or less in line with Wall Street's expectations, but the same can't be said of its December sales. Global same-store sales rose 3.7% across the board, led by an 8.9% gain in the Asia-Pacific, Middle East and Africa (APMEA). U.S. same-store sales increased 2.6% in December, while sales at restaurants open at least 13 months declined 0.5% in Europe.

Continue reading McDonald's Dips After Weak December Sales

McDonald's Dips After Weak December Sales originally appeared on BloggingStocks on Mon, 24 Jan 2011 11:00:00 EST. Please see our terms for use of feeds.

Continue reading State Street Takes a Hit After Q4 Report

State Street Takes a Hit After Q4 Report originally appeared on BloggingStocks on Wed, 19 Jan 2011 14:30:00 EST. Please see our terms for use of feeds.

Friday morning, the good folks at JPMorgan Chase (JPM) kicked off a wave of quarterly reports from the banking sector. Next week, we'll hear the latest earnings results from the likes of Citigroup (C), Goldman Sachs (GS), and Wells Fargo (WFC), just to name a few.

Of course, the biggest bank in the nation -- Bank of America (BAC) -- also has a quarterly report on deck. Ahead of next Friday's fourth-quarter release, one speculator opted to construct a high-volatility options strategy on BAC.

Continue reading Bank of America Singled Out for a Long Strangle Ahead of Earnings

Bank of America Singled Out for a Long Strangle Ahead of Earnings originally appeared on BloggingStocks on Fri, 14 Jan 2011 12:30:00 EST. Please see our terms for use of feeds.

Green Mountain Coffee Roasters (GMCR) has taken a drastic dive, with the stock staging a bearish gap with the sound of Friday's opening bell. Thursday night, the company unveiled its fiscal fourth-quarter results, and also confessed to a disappointing outlook for the first quarter.

Specifically, Green Mountain said it banked a fourth-quarter profit of $27 million, or 20 cents per share, up from its year-ago earnings of $14.1 million, or 12 cents per share. Sales for the quarter climbed 73% to $373.1 million. The results fell roughly in line with Wall Street's expectations, which called for a profit of 20 cents per share on revenue of $359.2 million.

Continue reading Green Mountain Coffee Crushed by Lackluster Forecast

Green Mountain Coffee Crushed by Lackluster Forecast originally appeared on BloggingStocks on Fri, 10 Dec 2010 11:30:00 EST. Please see our terms for use of feeds.

Chinese gaming concern Perfect World (PWRD) took the earnings stage last night, with the company unveiling a third-quarter profit of CNY213.7 million, or $31.9 million -- down 26% on a year-over-year basis. Excluding items, Perfect World earned CNY4.53 per share, or 68 cents, compared to Wall Street's forecast for 53 cents per share. Revenue for the period rose 12% to CNY658.2 million.

Despite Perfect World's respectable third-quarter performance, analysts seem less than thrilled with the firm's fourth-quarter outlook. Citigroup downgraded the stock to sell from buy, while Credit Suisse lowered its opinion to underperform from outperform.

Continue reading Perfect World Plunges After Lackluster Q4 Guidance

Perfect World Plunges After Lackluster Q4 Guidance originally appeared on BloggingStocks on Tue, 16 Nov 2010 12:30:00 EST. Please see our terms for use of feeds.

AutoZone Inc. (AZO) is scheduled to release its fiscal fourth-quarter earnings before the market opens Tuesday, Sept. 21. The retailer has a solid track record in the earnings spotlight, having exceeded analysts' per-share profit predictions in each of the past four reporting periods -- and AZO has managed to surpass Wall Street's consensus estimate by an increasingly wide margin in each sequential quarter.

Ahead of the report, analysts surveyed by Thomson Reuters are anticipating AutoZone to bank a profit of $5.42 per share, up from $4.45 per share in the year-ago period. Sales are expected to arrive at $2.39 billion.

Continue reading Earnings Preview: Can AutoZone Rev Higher After Q4 Report?

Earnings Preview: Can AutoZone Rev Higher After Q4 Report? originally appeared on BloggingStocks on Mon, 20 Sep 2010 12:30:00 EST. Please see our terms for use of feeds.

After the closing bell, SunPower Corporation (SPWRA) will take the spotlight to reveal its fourth-quarter earnings. Analysts surveyed by Thomson Reuters are expecting the solar concern to report net income of 49 cents per share, down from its year-ago profit of 70 cents per share. Sales for the period are expected to arrive at $491 million.

SunPower has a solid history in the earnings spotlight, having exceeded Wall Street's consensus expectations in three of the past four reporting periods. Judging by a recent uptick in call buying, some traders appear to be anticipating another upside surprise.

Continue reading What's in Store for SunPower After Earnings?

What's in Store for SunPower After Earnings? originally appeared on BloggingStocks on Thu, 18 Mar 2010 13:00:00 EST. Please see our terms for use of feeds.

DryShips Inc. (DRYS) has a date in the earnings spotlight after Thursday's closing bell, with the drybulk shipper slated to release its fourth-quarter results. Analysts are expecting DryShips to report a profit of 23 cents per share, modestly lower than its year-ago earnings of 25 cents per share. The company has a decidedly mixed history on the earnings front; during the past four reporting periods, Dryships has topped analysts' consensus expectations twice and fallen short on two other occasions.

Ahead of the report, calls are the options of choice among speculative investors. During the past 10 days, traders on the Chicago Board Options Exchange (CBOE) and the International Securities Exchange (ISE) have bought to open 6.87 calls for every put on DRYS. In other words, option players have purchased nearly seven times more bullish bets than bearish.

Continue reading Call Volume Pops Ahead of DryShips' 4Q Report

Call Volume Pops Ahead of DryShips' 4Q Report originally appeared on BloggingStocks on Thu, 25 Feb 2010 12:20:00 EST. Please see our terms for use of feeds.

Electronics retailer RadioShack Corporation (RSH) -- or "The Shack," if you take your cues from aggressively quirky marketing campaigns -- is preparing to unleash its fourth-quarter earnings results. RadioShack will take the earnings stage after the market closes next Monday, Feb. 22, with analysts surveyed by Thomson Reuters expecting a per-share profit of 58 cents. This would mark a modest improvement from the company's year-ago profit of 50 cents per share.

RadioShack has a mixed history in the earnings spotlight -- during the past four reporting periods, the company has surpassed consensus estimates twice, and fallen short on the other two occasions. However, there's just cause to believe that business is booming at The Shack, since the retailer scored a deal to sell a little gadget known as the iPhone in its retail outlets.

Continue reading Shorts Take a Bold Stance Ahead of RadioShack's Earnings

Shorts Take a Bold Stance Ahead of RadioShack's Earnings originally appeared on BloggingStocks on Fri, 19 Feb 2010 17:30:00 EST. Please see our terms for use of feeds.

Humble restaurant chain Buffalo Wild Wings (BWLD) is scheduled to release its fourth-quarter earnings report after the market closes on Thursday, Feb. 11. Ahead of the event, analysts surveyed by Thomson Reuters are looking for a profit of 51 cents per share, up from 43 cents per share in the year-ago quarter. BWLD has an impressive history in the earnings spotlight, having matched or exceeded Wall Street's consensus expectations in each of the previous four reporting periods.

Continue reading Ambitious Trader Strangles Buffalo Wild Wings Ahead of Earnings

Ambitious Trader Strangles Buffalo Wild Wings Ahead of Earnings originally appeared on BloggingStocks on Wed, 10 Feb 2010 18:30:00 EST. Please see our terms for use of feeds.

Specifically, KBW lowered its forecast from $360 to $350, while Susquehanna chopped its price target from $370 to $345. Shares of CME finished Thursday at $269.29, so both brokerage firms are still anticipating some healthy gains from the stock during the next year. In fact, both targets exceed the equity's average 12-month price target of $342.35, as reported by Thomson Reuters, which implies expected upside of more than 27% from yesterday's close.

Continue reading CME Group Slapped with Post-Earnings Price Target Cuts

CME Group Slapped with Post-Earnings Price Target Cuts originally appeared on BloggingStocks on Fri, 05 Feb 2010 15:00:00 EST. Please see our terms for use of feeds.

YRC Worldwide (YRCW) is preparing to release its fourth-quarter results, with the company's earnings report scheduled to hit Wall Street before the market opens on Friday, Feb. 5. Analysts are expecting YRCW to swallow a loss of $1.74 per share, wider than the company's year-ago loss of $1.63 per share.

The transportation issue has fallen short of consensus earnings expectations in each of the previous four quarters, which may explain why bearish speculation is on the rise in the days leading up to YRCW's report.

Continue reading Heavy Pessimism on YRC Worldwide Ahead of 4Q Earnings

Heavy Pessimism on YRC Worldwide Ahead of 4Q Earnings originally appeared on BloggingStocks on Tue, 02 Feb 2010 17:00:00 EST. Please see our terms for use of feeds.

On Tuesday evening, I took a different route home than usual, and drove past my local Blockbuster (BBI) store. It was hard not to notice the brand new "Store Closing" sign, and my carpool buddies and I briefly discussed the stiff competition the chain is facing from Netflix (NFLX) and smaller rival Redbox.

Well, in light of last night's updated fiscal-year outlook, I'm beginning to think I may have witnessed a real-life bad omen (feel free to email me for your own psychic reading). After Wednesday's closing bell, Blockbuster confessed that its preliminary fourth-quarter and full-year results were unexpectedly weak -- and as a result, shares of the penny stock are slipping ever closer to theoretical support at zero.

Continue reading More Pain for Blockbuster After Weak Forecast

More Pain for Blockbuster After Weak Forecast originally appeared on BloggingStocks on Thu, 21 Jan 2010 12:30:00 EST. Please see our terms for use of feeds.

Piedmont Natural Gas Company, Inc. (NYSE: PNY) is one of the few corporations to report earnings this week -- and, judging by its results, that may be a good thing. PNY reported a widened fourth-quarter loss of $13.2 million, or 18 cents per share, while revenue improved by 12% to $311.8 million. Gross margin for the period contracted from 29.1% to 28.1%.

Ahead of the report, analysts were expecting a more modest quarterly loss of about 13 cents per share, according to Thomson Financial. Piedmont's forecast for the next fiscal year also fell short of Wall Street's expectations; the company backed its fiscal 2009 guidance for earnings of $1.55 to $1.65 per share, compared to analysts' consensus estimate for earnings of $1.66 per share.

Continue reading Piedmont Natural Gas sinks on disappointing earnings, 2009 outlook

Piedmont Natural Gas sinks on disappointing earnings, 2009 outlook originally appeared on BloggingStocks on Mon, 29 Dec 2008 13:29:00 EST. Please see our terms for use of feeds.