3 Stocks That Could Make Huge Moves This Week

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3 Stocks That Could Make Huge Moves This Week

Transcript of 3 Stocks That Could Make Huge Moves This Week

3 Stocks That Could Make Huge Moves This Week

Cal-Maine FoodsCal-Maine is a leading producer and distributor of eggs in the United States. The company is expected to report earnings on Monday morning.

Currently, 33% of Cal-Maine’s shares are sold short.

An outbreak of bird flu in the US led to a sharp increase in egg prices. Investors big up shares of Cal-Maine sharply after this. Short-sellers are betting that this trend is either short-lived, or that Cal-Maine will lose capacity as a result as well.

Photo: Cal-Maine

Here’s What You Should WatchOver the Short Term• Cal-Maine is expected to

report earnings of $1.02 per share for the previous quarter.

• Analysts expect the company to have collected $423 million in sales for the previous quarter.

• For the next fiscal year, analysts are expecting the company to bring in $10.30 per share on sales of $2.1 billion.

Over the Long Term• Listen in to the conference call

to get a feel for how the flu is affecting prices, and how long management thinks those levels will be around.

• If Cal-Maine starts losing capacity because its own egg-laying hens have contracted the flu, it could be a huge hit for the company. Listen in for any hint that this might be a concern.

Angie’s ListAngie’s List is an online community that allows members to share reviews of service providers. The company is expected to report earnings on Wednesday morning.

Currently, 26% of Angie’s shares are sold short.

Angie’s primarily derives its revenue from charging members and service providers a fee. With costs that continue to rise and a lack of profitability, many doubt that this business model can produce lasting results.

Source: Angie’s List

Here’s What You Should WatchOver the Short Term• Angie’s is expected to

announce $89.2 million in revenue for the previous quarter.

• The company is expected to have lost $0.17 per share last quarter.

• For the rest of the fiscal year, expectations are set for $358 million in revenue and earnings of $0.19 per share.

Over the Long Term• Angie’s was able to swing to

profitability earlier in the year by reducing marketing spending. See if that’s still the case, as it may need to spend more to fend off Amazon, thus reducing profitability.

• Average revenue per market was up 22% last quarter. Check and see if the company was able to keep up this robust level of growth.

AthenahealthAthenahealth is a provider of cloud-based services for healthcare companies. The company is expected to report earnings on Thursday evening.

Currently, 53% of Athena’s shares are sold short.

Athena is an expensive stock, plain and simple. It trades for 80 times trailing earnings, and 80 times free cash flow. Short sellers believe the stock has gotten ahead of itself.

Photo: Athenahealth

Here’s What You Should WatchOver the Short Term• Analysts are expecting

Athena to report revenue of $227 million for the previous quarter.

• They are also expecting earnings to come in at $0.25 per share for the previous quarter.

• For the rest of 2015, expectations are set for $918 million in sales with earnings of $1.19 per share.

Over the Long Term• After declining for a number of

quarters, sales for the company’s Epocrates-branded services grew last quarter. Look to see if that trend continued.

• Athena has routinely been able to add more than 1,000 physicians under its Collector, Clinicals, and Communicator platforms. See if that growth continues.