Sears earnings

H

harrybachs

Hi all,

Sears holdings (SHLD) seems to be running up prior to its earnings next week.

Anyone feel that this is a buy the stock on the rumor issue?

Harry
 
This could be many things such as the news leaked out or its obvious to big money that the earnings call will be good so they are buying into earnings.

The market seems to be either rewarding stocks with good conference calls or punishing them on the bad. I dont see any in-between.

Sometimes even a good conference call is punished because of some small technicality. Im not a gambling man, so I would not hold into any earnings call in today's environment. You can monitor the call yourself and maybe get in real quick in afterhours and still have a chance at price appreciation like Cisco. Although, afterhours trading can be a fool's game too. Sometimes the financials will come out first and the stock pops. Then after the conference call the stock tanks.

The bottomline is I dont trust earnings calls anymore.
 
After Hours can be very volatile. I watched Akamai Technologies get slammed when the numbers came out a little after 4. It dropped from near 50 to (someone got lucky and got a 44.00 chunk) and then soon recovered to 47-48 and even popped up to 50 again during the call. Ultimately the earnings announcement left the stock unchanged. But you can see there was a great buying opportunity the three minutes following the numbers being announced because people assumed bad news.

In summary, I would never bet on earnings. Even the best fall down sometimes and a missed gain is better than a missed loss. Buy on anticipated news that will have time to get priced into the stock.
 
Quote from harrybachs:

Hi all,

Sears holdings (SHLD) seems to be running up prior to its earnings next week.

Anyone feel that this is a buy the stock on the rumor issue?

Harry
More...

Why is Sears considered such a good or should I say expensive stock?

The one closet to me recently closed after being there for like 100 years and the K-mart nearest me is liking a ghost town.

What makes Sears so special when it comes to its stock?
 
Quote from Handsome:

Why is Sears considered such a good or should I say expensive stock?

The one closet to me recently closed after being there for like 100 years and the K-mart nearest me is liking a ghost town.

What makes Sears so special when it comes to its stock?
More...

K-mart stores look like a ghost town I tell ya.
 
Quote from HolyGrail:

People buy Sears because of their investments. The retailing part of the company does very little.
More...

Thanks..I didn't know that..then I read their earnings report and see that what you posted is correct for sure.
 
I've never had the inner emotions needed to short a stock although I have come very close. I'm so centered on finding winners and my researching method discards the junk so fast it's tough to sift through all the negativity. I'm also a true believer not good for a stock guy and I fall in love with my stocks.... all bad traits.

That being said I want so bad to short Sears. I have seen the hedge fund community gladly selling all their shares this month- cashing out $120-$170 and handing of to the little guy at @ $170 We all know where this is going. The risk to shorting at this high a price is obviously an announcement of a stock split and Lampert is hiding that last arrow. But the stores are crap and the real estate is going down in value there is nothing here but an investment trap i feel $170 to $140 will be the easiest $30 made in a short... the other danger is Kramer pushing SHLD on his show which he does on a weekly basis. BH for SI
 
Quote from stonedinvestor:

I've never had the inner emotions needed to short a stock although I have come very close. I'm so centered on finding winners and my researching method discards the junk so fast it's tough to sift through all the negativity. I'm also a true believer not good for a stock guy and I fall in love with my stocks.... all bad traits.

That being said I want so bad to short Sears. I have seen the hedge fund community gladly selling all their shares this month- cashing out $120-$170 and handing of to the little guy at @ $170 We all know where this is going. The risk to shorting at this high a price is obviously an announcement of a stock split and Lampert is hiding that last arrow. But the stores are crap and the real estate is going down in value there is nothing here but an investment trap i feel $170 to $140 will be the easiest $30 made in a short... the other danger is Kramer pushing SHLD on his show which he does on a weekly basis. BH for SI
More...

cramer says sears going to 250. has cramer ever been wrong? jk
 
Quote from stonedinvestor:

The risk to shorting at this high a price is obviously an announcement of a stock split and Lampert is hiding that last arrow.
More...

I don't have a link or source to quote from, but I remember hearing that Eddie has said he will never split the stock. Personally, I'm long. I'm not sure why you think its in for such a big correction. Its not like this things valuation is rediculous- compare the P/E and forward P/E to the competitors.
 
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