Another potential earnings short-squeeze play is social business software platform provider Jive Software (JIVE), which is set to release its numbers on Tuesday after the market close. Wall Street analysts, on average, expect Jive Software to report revenue of $31.15 million on a loss of 15 cents per share.
Just this morning, Credit Suisse reccomended Jive Software as a buy, with a $20 price target, ahead of its earnings report.>>3 Big Tech Stocks to Trade (or Not) The current short interest as a percentage of the float for Jive Software is extremely high at 29.9%. That means that out of the 27.02 million shares in the tradable float, 6.27 million shares are sold short by the bears. The bears have also been increasing their bets from the last reporting period by 4.9%, or by about 293,000 shares. If the bears are caught pressing their bets into a strong quarter, then we could easily see a big short-squeeze develop post-earnings. From a technical perspective, JIVE is currently trending above its 50-day moving average and below its 200-day moving average, which is neutral trendwise. This stock has been uptrending strong for the last three months, with shares soaring from its low of $10.63 to its recent high of $15.86 a share. During that uptrend, shares of JIVE have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of JIVE within range of triggering a major breakout trade post-earnings. If you're in the bull camp on JIVE, then I would wait until after its report and look for long-biased trades if this stock manages to break out above some near-term overhead resistance levels at $15.80 to $15.86 a share and then once it clears its 200-day moving average at $16.36 a share with high volume. Look for volume on that move that registers near or above its three-month average volume of 660,403 shares. If that breakout triggers, then JIVE will set up to re-fill some of its previous gap down zone from last August that started near $19.89 a share. I would simply avoid JIVE or look for short-biased trades if after earnings it fails to trigger that breakout, and then drops back below its 50-day at $14.46 and more support levels at $14.28 to $13.86 a share with high volume. If we get that move, then JIVE will set up to re-test or possibly take out its next major support levels at $13 to $12.76 a share.
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 Plus 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