An name under-$10 name in the communications services complex that's worth watching is Paetec (PAET). This stock has been off to a hot start this year, with shares up over 40% so far. This company just reported third-quarter earnings that showed a 31% jump in revenue growth year over year to $536.3 million. Despite those strong results, the stock is trading off by 7% at last check.
If you take a look at the chart for Paetec, you'll notice that this stock has been in a strong uptrend for the past six months, where shares have been making mostly higher highs and higher lows. Before today's down move, the stock was approaching a major breakout above $5.71 to $5.84 a share. That said, the stock has now dropped back below its 50-day moving average of $5.50 a share. Shares of Paetec are now approaching some key support zones at $5.25 and then near $5 a share, if that $5.25 support fails to hold.
Select the service that is right for you!COMPARE ALL SERVICES
- $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
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV