MidnightTrader Earnings Play: Buffalo Wild Wings
Buffalo Wild Wings
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BWLD |
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PowerRating) is due out with Q2 results after the bell tonight, and analysts polled by Thomson Financial are expecting a profit of $0.27 per share on revenue of $94.6 million.
This stock is one to watch for its clear pattern of extending after-hours action the following day. In the last three years, BWLD has shown a strong tendency to widen its after-hours move the next day following an evening earnings event. It has done so nine out of 10 times and for eight straight quarters.
On April 29, 2008, the stock gained 12% during evening trading after the company reported results well ahead of the year-ago period. The gain increased to 18.8% the next day.
On Feb. 12, 2008, BWLD jumped 10.8% in after-hours trade after beating Q4 earnings expectations and issuing largely upbeat guidance for 2008. The stock firmed higher the following day, gaining 12.1% by the Feb. 13 closing bell.
On Oct. 30, 2007, BWLD tumbled 13.1% in evening trade after reporting Q3 earnings shy of expectations. It continued heading lower into the Oct. 31 regular session, losing 21.2% by the closing bell.
On July 31, 2007, BWLD slid 11.5% in night trade after missing Q2 sales estimates and meeting on EPS. Shares fell further the next day, ending down 16.9% in the regular session.
On May 1, 2007, BWLD gained 5.3% in after hours when the company beat Q1 expectations. Shares soared the following day, closing the regular session up 14.4%.
On Feb. 15, 2007, BWLD rallied 8.9% in night trade after topping Q4 sales estimates. Shares rose a bit further the next day, ending the regular session up 9.6%.
Brooks McFeely is widely regarded as the leading expert on extended-hours trading. He is a Managing Partner for Brochet Capital Partners, LP and the founder of Midnight Trader, Inc. (midnighttrader.com), the leading provider of pre-market and after-hours trading analysis and news to retail and institutional investors.