This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Cisco to the Woodshed, NetEase to the Moon After Earnings

Stocks in this article: CSCO DDS DE M NTES VAL

Agricultural equipment maker Deere (DE - Get Report) ($82.51 vs. $81.74 on Aug. 9) beat EPS estimates by 40 cents a share premarket on Aug. 14. Since then the stock has traded back and forth around its 50-day SMA at $83.11 staying below its 200-day at $86.70. The trading range was from a low of $81.00 last Thusday to a high of $85.07 on Monday. The hold rated stock stayed between my quarterly value level at $77.79 and my monthly risky level at $88.86 with a pivot this week at $83.50.

Department store Macy's (M - Get Report) ($44.93 vs. $48.52 on Aug. 9) joined the earnings parade with an EPS miss of 6 cents a share earning 72 cents premarket on Aug. 14. The buy rated stock fell from its 50-day SMA at $48.23 on Aug. 13 to a low of $44.56 yesterday still above the 200-day SMA at $43.40 with my semiannual pivot at $46.21.

The Internet technology company NetEase (NTES - Get Report) ($72.45 vs. $60.40 on Aug. 9) beat EPS estimates by 11 cents a share earning $1.37 in afterhours trading on Aug. 14. The stock opened the next morning above my quarterly pivot at $61.52, which began a moon-shot to a high of $74.69 on Aug. 20. This strength caused the stock to be to become a momentum trade. Buy-and-trade investors should thus consider booking profits, as the stock was downgraded to hold from buy.

Paint and coatings supplier Valspar (VAL - Get Report) ($63.30 vs. $69.92 on Aug. 9) missed EPS estimates by 4 cents earning $1.07 a share on Aug. 13. The hold rated stock held its 200-day SMA at $64.54 on Aug. 13 then failed at its 50-day SMA at $67.46 on Aug. 14. Since then the stock has slipped to a low of $62.12 on Tuesday. My semiannual pivot is $63.88 with semiannual and quarterly risky levels at $68.80 and $70.84.

At the time of publication the author held no positions in any of the stocks mentioned.

This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.

Richard Suttmeier has an engineering degree from Georgia Tech and a master of science from Brooklyn Poly. He began his career in the financial services industry in 1972 trading U.S. Treasury securities in the primary dealer community. In 1981 he formed the Government Bond Department at LF Rothschild and helped establish that firm as a primary dealer in 1986. Richard began writing market research in 1984 and held positions as market strategist at firms such as Smith Barney, William R Hough, Joseph Stevens, and Rightside Advisors. He joined www.ValuEngine.com in 2008 producing newsletters covering the U.S. capital markets, and a universe of more than 7,000 stocks. Richard employs a "buy and trade" investment strategy and can be reached at RSuttmeier@Gmail.com.
2 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,191.37 -195.84 -1.13%
S&P 500 2,002.16 -27.39 -1.35%
NASDAQ 4,637.9940 -43.5030 -0.93%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs