How to Trade 3D Systems, eBay, Panera Bread Earnings Reports Today

NEW YORK (TheStreet) -- This week we will crunch the numbers on 42 companies that report their quarterly earnings Tuesday through Friday. Today's profiles are for nine stocks that report both before the opening bell and after the closing bell on Tuesday.

Rather than profile each stock individually, I crunch the numbers in the following tables for you.


The biggest year-to-date gainer is Marriott (MAR) ($57.23), up 16%. The company is the parent of several hotel and motel chains, including the Ritz-Carlton and Courtyard, where I stay when visiting my son and his family in New Jersey. Analysts expected the company to report earnings per share of 51 cents after the closing bell today.

The stock is above all five key moving averages in today's first table and has an overbought weekly chart. The stock set an all-time intraday high at $57.85 on April 24, making it important for Marriott to hold its weekly pivot at $57.14. We show monthly and quarterly value levels at $56.00 and $51.40.

The second biggest year-to-date gainer is Goodyear Tire (GT) ($27.44), up 15.1%. The company reports its quarterly results before the opening bell on Tuesday, and analysts expect the tire maker to report EPS at 60 cents per share. The stock set a multiyear intraday high at $28.48 on April 24.

The stock is above all five key moving averages but has declining stochastics on its weekly chart. This negative divergence should limit the upside to our monthly risky level at $28.71. Weekly and quarterly value levels are $26.57 and $25.29.

In third place, performance-wise, is Dow component and large cap pharma company Merck (MRK) ($57.24), up 14.4%. The company reports quarterly results before the opening bell on Tuesday, and analysts expect the stock to report EPS of 79 cents per share. Merck set a multiyear intraday high at $58.32 on April 22.

The stock is above all five key moving averages but has declining stochastics on its weekly chart. This negative divergence makes it important for the stock to hold its quarterly pivot at $57.07, as monthly and annual value levels lag at $54.81 and $53.40.

By far the biggest year-to-date loser in today's tables is 3D Systems (DDD) ($49.64), down 46.6%. The company reports quarterly results before the opening bell on Tuesday, and analysts expect the maker of 3-D printers to report EPS of 11 cents per share. The stock set a parabolic all-time intraday high at $97.28 on Jan. 3, then crashed along with so many of the momentum stocks. The recent intraday low is $45.31, set on April 15.

The stock is below the first four of the five key moving averages. It's above its 200-week simple moving average at $28.67, with extremely oversold stochastics. Reaction to earnings will likely be extremely volatile, as weekly and annual value levels are $33.84 and $33.80. Its annual pivot is at $52.19, and semiannual risky levels at $57.37 and $77.58.

Summarizing the first "crunching the numbers" table, we show two stocks overbought, five with declining stochastics, and two oversold. Five are above their five-week modified moving averages and four are below.

Summarizing the second "crunching the numbers" table, we show that only three stocks are trading under the influence of quarterly, semiannual and annual pivots. Three have weekly pivots, but that's only a potential influence this week.

Your investment policy among these stocks depends on whether you are a buyer on weakness or a seller of strength. We advocate using a GTC (good until canceled) limit order to buy weakness to a value level or to sell strength to a risky level.


Crunching the Numbers With Richard Suttmeier: Moving Averages & Stochastics

This table provides the technical status for the stocks profiled in today's report.

There are five columns with moving average titles: Five-Week Modified Moving Average, 21-Day Simple Moving Average, 50-Day Simple Moving Average, 200-Day Simple Moving Average and the 200-Week Simple Moving Average.

The column labeled 12x3x3 Weekly Slow Stochastics shows the pattern on each weekly chart with readings from Oversold, Rising, Overbought, Declining or Flat.

Interpretations: Stocks below a moving average are listed in red.

Five-Week Modified Moving Average (MMA) is one of two indicators that define whether a weekly chart profile is positive, neutral or negative. The other is the status of the 12x3x3 weekly slow stochastic.

A stock with a positive technical rating is above its five-week MMA with rising or overbought stochastics.

A stock with a negative technical rating is below its five-week MMA with declining or oversold stochastics.

A stock with a neutral technical rating has a profile that is not positive or negative.

The 200-Week Simple Moving Average (SMA) is considered a long-term technical support or resistance and as a "reversion to the mean" over a rolling three- to five-year horizon. (Even Apple declined to its 200-week SMA in June 2013.)

The 21-Day Simple Moving Average is a short-term technical support or resistance used by many hedge fund traders to adjust positions. A stock above its 21-day SMA will likely move higher over a rolling three to five day horizon and vice versa.

The 50-Day Simple Moving Average is also a technical support or resistance used by many strategists and commentators in financial TV.

The 200-Day Simple Moving Average is another technical support or resistance, and I consider this level as a shorter-term "reversion to the mean" over a rolling six- to 12-month horizon. (Even Apple tested or crossed its 200-day SMA in nine of the last 10 years.)

Crunching the Numbers With Richard Suttmeier: Earnings and Where to Buy & Sell

This table presents the EPS estimates including date and before or after the close, and where to buy on weakness and where to sell on strength.

EPS Date is the day the company reports their quarterly results.

EPS Estimate is the earnings per share estimate from Wall Street analysts.

Value Levels, Pivots and Risky Levels are calculated based upon the last nine weekly closes (W), nine monthly closes (M), nine quarterly closes (Q), nine semiannual closes (S) and nine annual closes (A). I have one column for pivots, which is a magnet for the period shown. The columns to the left of the pivots are first and second value levels. The columns to the right of the pivots are first and second risky levels.

Investors who wish to buy a stock should use a good-until-canceled GTC limit order to buy weakness to a value level. Investors who want to sell a stock should use a GTC limit order to sell strength to a risky level.

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

This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff

Richard Suttmeier is the chief market strategist at ValuEngine.com. He has been a professional in the U.S. Capital Markets since 1972, transferring his engineering skills to the trading and investment world.

Suttmeier has an engineering degree from Georgia Tech and a Master of Science degree from Brooklyn Poly. He began his career in the financial services industry in 1972 trading U.S. Treasury securities in the primary dealer community. He became the first long bond trader for Bache in 1978, and formed the Government Bond Department at LF Rothschild in 1981, helping establish that firm as a primary dealer in 1986. This experience gives him the insights to be an expert on monetary policy, which he features in his newsletters, and market commentary.

Suttmeier's industry licenses include, Series 7 and Registered Principal (Series 24). He has been the Chief Market Strategist for ValuEngine.com since 2008 and often appears on financial TV.

Click here for details on Suttmeier's "Buy and Trade" investment strategy.

Richard Suttmeier can be reached at RSuttmeier@Gmail.com

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