Wal-Mart, Priceline.com, Macy’s Kick Off Retail Earnings This Week

  • May 8, 2009
  • Cassie Slane

Last week, investors got a peak at how well retailers are faring after companies from Wal-Mart Stores
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Priceline.com
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Investors going long should know that Priceline.com shows a tendency to widen its next day share movement following an evening earnings release, doing so for 15 of the past 21 quarters. In the near-term, the stock is also showing that pattern, widening its share move three times in the most recent four quarters. On February 18, the stock rallied 12.8% in after-hours trading and extended those gains the following regular session, ending up 16.6%.

Looking deeper into the performance data, longs may be interested to know that Priceline has seen a positive post-bell earnings-driven trade in 13 of the 21 quarters we’ve tracked, and in 10 of those upside evening moves the stock has followed that trade with a more aggressive positive run in the next day’s regular session.

Whole Foods Market
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Whole Foods has developed a strong pattern of widening price moves between the sessions following its after-hours earnings-related events, extending its move after 14 of its past 19 earnings-related events. In the near-term, the pattern is mixed, however, with two narrowing and two widening events in the last four quarters. On February 18, the stock rallied 7.3% in after-hours trading after quarterly results beat the Street. The stock extended those gains the following regular session, ending up a whopping 37.2%.

                                    

Cassie Slane is a Senior Editor at www.MidnightTrader.com.