VeriFone Systems

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

Nearest Resistance: $19
Nearest Support: $18
Catalyst: Earnings, Downgrades

>>5 Rocket Stocks to Buy in June

Shares of VeriFone Systems ( PAY) are getting shellacked today after the firm announced earnings and then got downgraded by a deluge of analysts from Wedbush to Barclays to UBS to Jeffries. The firm reported earnings per share of 42 cents for the second quarter, short of analysts' 47-cent estimate. Worse, the firm announced that its third quarter earnings would likely fall in at around half of what analysts had been expecting. That revelation sent PAY down 18% early in today's session.

For now, shares are holding at $18 support. But that support level is tenuous enough that it could fail in the near-term. I'd recommend opportunistic buyers wait for PAY to establish a more meaningful support level before putting money into this name.

If you liked this article you might like

Hurricane Irma, Trump and ECB - 5 Things You Must Know Before the Market Opens

Congress Is Back in Session and Tax Reform Is Top of Mind - Week Ahead

These Stocks Have Changed Direction

Amazon's Plan to Swallow Whole Foods to Foment More Destruction, More Scrutiny