NEW YORK (TheStreet) -- Last week four stocks gapped lower on negative stock specific news. A regional department store blamed slowing same store sales on Superstorm Sandy. A luxury jewelry store missed earnings estimates on lower-than-expected sales of lower-priced silver-based products.
A fast food chain reported weaker-than-expected fried chicken sales in China. And an Internet software company said raising prices for their products would be limited due to a new deal with the U.S. government.
The three retailers taken to the woodshed are in the retail-wholesale sector, which is 7.6% overvalued according to www.ValuEngine.com. The Internet software stock is in the computer-technology sector, which is 3.3% overvalued. The Internet software industry is 16.9% undervalued.
Reading the TableOV/UN Valued: The stocks with a red number are undervalued by this percentage. Those with a black number are overvalued by that percentage according to ValuEngine. VE Rating: A "1-Engine" rating is a Strong Sell, a "2-Engine" rating is a sell, a "3-Engine" rating is a hold, a "4-Engine" rating is a buy and a "5-Engine" rating is a strong buy. Last 12-Month Return (%): Stocks with a red number declined by that percentage over the last 12 months. Stocks with a Black number increased by that percentage. Forecast 1-Year Return: Stocks with a red number are projected to decline by that percentage over the next 12 months. Stocks with a black number are projected to move higher by that percentage over the next 12 months. Value Level: The price at which to enter a GTC Limit Order to buy on weakness. The letters mean; W-Weekly, M-Monthly, Q-Quarterly, S-Semiannual and A- Annual. Pivot: A level between a value level and risky level that should be a magnet during the timeframe noted. Risky Level: The price at which to enter a GTC Limit Order to sell on strength. Kohl's Corp (KSS) ($44.65) gapped below its 200-day simple moving average at $49.82 last Thursday after they reported weaker-than-expected same store sales blaming Superstorm Sandy. Shares were taken to the woodshed and chopped by 9.0%.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV