Given the ability of earnings reports to catapult stock prices higher in a short period of time, the authors of today’s article state “It’s no wonder why options traders tend to salivate like Pavlov’s dogs during earnings season.” They acknowledge, however, that playing the earnings game successfully is not easy – which is why they outline what they believe is a better way for individual investors to capitalize on earnings season. For more, CLICK HERE.
When the stock market is viewed as a singular entity, rather than as a market made up of individual stocks, babies (quality stocks) can get thrown out with the bathwater (selling action) during periods of volatility – and this provides an opportunity for value investors. Today’s article highlights four such value prospects – stocks that the author notes had “fine earnings reports but sold off anyway. These companies are all trading at a significant discount to their long-term averages with forward-looking growth expectations in-line with historical performance, signaling an irrational gap in pricing.” For these four stocks, CLICK HERE.