Plexus My first earnings short-squeeze idea is electronic instrument and controls player Plexus ( PLXS), which is set to report its numbers on Wednesday after the close. Wall Street analysts, on average, expect Plexus to report earnings of 48 cents per share on revenue of $527.80 million. If you're looking for a stock that's been uptrending very strong ahead of its quarter, then take a strong look at shares of Plexus. This stock has ramped up big from its October low of $21.06 to its current price of just over $32.50 a share. This stock is up over 19% so far in 2012, and it now is trading right below some key breakout levels. The current short interest as a percentage of the float for Plexus is 5%. That means that out of the 34.21 million shares in the tradable float, 1.72 million shares are sold short by the bears. This isn't a huge short interest, but the float is small so it's more than enough to spark a big short-squeeze if the bulls get the news they're looking for. From a technical standpoint, PLXS is currently trading below above both its 50-day and 200-day moving averages, which is bullish. The strong run in this stock during the last few months has now put it in range to trigger a big breakout trade. f you're bullish on PLXS, I would look to get long after they report their results if the stock trades back above some near-term overhead resistance at $33.79 with volume, and then above $34 to $35.36 a share. Look for volume that's tracking in close to or above its three-month average of 308,841 shares. If those levels get taken out post-earnings with volume, then look for PLXS to trade back toward $38 to $39 a share. I would only get short or avoid any long trades in PLXS if after they have released their results the stock fails to takes out $33.79 with volume. If that level holds as stiff resistance and you get short, I would then add to any positions if it takes out its 200-day moving average of $29.58 with volume. Target a drop back toward its 50-day moving average of $27.37, or possibly lower if the bears destroy this stock post-earnings.
Even after the Dow Jones Industrial Average dropped 1,000 points Monday morning, investors in semiconductor and hardware companies still have viable options within the markets, according RBC Capital Markets analysts.