Is anyone playing AIG earnings?

B

bozak

I like GNW as a play off of the possibility of AIG beating expectations. GNW already reported so they shouldn't get killed even if AIG does.
 
Wow, how the heck did they miss by so much when UBS raised them to a buy just yesterday? Very odd, usually the analysts will wait until after the earnings unless the earnings are going to be good.
 
Yeah, they missed revenue estimates by $10 billion and they reported a loss of .51 cents while the estimate was positive .63. Rather mind boggling. How stupid does UBS look for upgrading yesterday?
 
Really, who trades off upgrades and downgrades? If anything, use them to take profits when you get a pop, or if short if you get a sell off. Those guys know nothing about trading and timing, look at the performance for the past year alone. If anything that buying into the earnings gave me the opportunity to get some index shorts on at a very good price.
 
I know, I almost never trade based on analysts, but they also almost never change their ratings the day before earnings. The last 5-6 times I've seen this the earnings beat the street by a large margin. Of course that doesn't necessarily mean the stock went up, but I'm still surprised the magnitude of the miss the day after an upgrade.
 
UBS says buy before earnings, how much of an idiot can you be to buy AIG before earnings, there losses were huge this quarter, I just dont see how this does anything positive for financials in the near term, with this kind of news financials should sell off. Im sure some analysts will come out and say the bottom is near and that writedowns are about 80% done with.
 
I didn't buy AIG, I bought calls on GNW just in case AIG had something positive to say. Don't bet on this tanking the market, not much of an effect in the after hours on the XLF or the averages.
 
You must log in or register to reply here.
Back
Top