Macro Wrap – Action Packed Earnings Next Week, $TSLA, $SCTY, $PCLN, $GRPN

by Enis November 1, 2013 5:57 am • Commentary

We’ve had some luck trading ahead of earnings this week, in both the AAPL condor and the FB call butterfly.  Next week is a similarly busy earnings season, with a number of high fliers reporting.  Some of the names of interest we’ll be writing about in the next week:

We’ve written extensively about many of these stocks in the past few months, with the exception of SSYS (which made a new all-time high yesterday).

First off, Elon Musk mania will be on full display next week, when TSLA and SCTY report back-to-back.  Both stocks are up more than 300% year-to-date.  I’ll be most interested in their reactions after the results, given that we’ve seen disappointing reactions from most of the mid-cap 2013 momentum leaders (NFLX, LNKD, YELP, etc.) so far this earnings season.

PCLN is another internet behemoth which reports next week.  Mega-cap internet companies have reacted much better than smaller internet names – GOOG, AMZN, and FB have all rallied after earnings.  PCLN has moved higher following its past 4 earnings reports, and EXPE was up 18% yesterday on a nice beat.  However, analysts estimates for Q3 are quite high for its seasonally most important quarter ($16.24 quarterly EPS estimate, vs. $12.40 in Q3 2012 and $9.70 is Q2 2013).


We’ll have a number of previews and trade suggestions on this list of stocks in the coming days, so stay tuned.