NEW YORK (TheStreet) -- Let's take a look at some technical price levels for the stocks of seven companies that are scheduled to report their quarterly results during the next two days.
On July 10, I wrote about 12 water utilities companies, including American Water Works (AWK), which is reporting on Wednesday. Its stock is up 10% year to date.
Keurig Green Mountain (GMCR), a provider of single-cup coffee brewing systems, will also report after the bell on Wednesday. It is the biggest winner of the seven stocks profiled so far in 2014, up 56%.
Transocean (RIG) will also report on Wednesday. The offshore contract driller of oil and gas wells is the biggest loser among the seven stocks profiled here, down 22% year to date.
Brinker International (EAT), the parent of several restaurant chains including Chili's and Romano's Macaroni Grill, will report pre-market Thursday. Its stock is down 4.7% year to date.
Radian Group (RDN), which provides private mortgage insurance and risk management services to mortgage lenders, is one of the non-homebuilder components in the housing sector index. The company's shares are down 12% year to date.
Let's take a look at the stock profiles. Two "crunching the numbers" tables follow.
American Water Works ($46.60) set an all-time intraday high at $49.54 on July 1, and declined to as low as $46.44 on Tuesday. The stock is below its 50-day simple moving average at $48.30 with its 200-day simple moving average at $44.79.
Analysts expect the company to report earnings per share at 65 cents. American Water has a 12-month trailing price-to-earnings ratio of 19.9 and dividend yield of 2.6%.
The weekly chart is negative with its five-week modified moving average at $47.86 and 200-week simple moving average at $36.15. A semiannual pivot is $46.28 with monthly and quarterly risky levels at $49.51 and $50.73, respectively.
Brinker International ($44.16) set an all-time intraday high at $55.45 on Feb. 28, and has been below its 200-day SMA at $48.39 since July 10, trading as low as $43.85 on July 23.
Analysts expect the company to report earnings at 86 cents per share. Brinker has a 12-month trailing P/E ratio of 16.3 and dividend yield of 2.1%.
The weekly chart is negative but oversold with its five-week MMA at $46.45. Weekly and annual value levels are $42.82 and $30.27, respectively, with semiannual and monthly risky levels at $48.18 and $51.32, respectively.
Keurig Green Mountain ($117.74) set an all-time intraday high at $128.50 on July 3, and is below its 50-day SMA at $120.08 with its 200-day SMA at $96.95.
Analysts expect the company to report earnings at 87 cents per share. Keurig has a 12-month trailing P/E ratio of 31.4 and dividend yield of 0.8%.
The weekly chart is negative with its five-week MMA at $119.76. Semiannual value levels are $109.90 and $88.49 with a weekly pivot at $120.51 and quarterly and weekly risky levels at $129.93 and $139.92, respectively.
HSN ($55.91) has been trading back and forth around its 200-day SMA at $57.39 since Jan.26. It went as low as $52.93 on May 7 and as high as $60.54 on July 2.
Analysts expect the company to report earnings of 78 cents per share. HSN has 12-month trailing P/E ratio of 18.3 and a dividend yield of 1.8%.
The weekly chart is negative with its five-week MMA at $56.52 and its 200-week SMA at $45.25. A weekly pivot is $56.39 with semiannual risky levels at $66.17 and $70.34.
Lamar Advertising ($50.72) has had daily closes above its 200-day SMA from Jan. 31 through July 31 with this average now at $50.61.
Analysts expect the company to report earnings of 35 cents per share. Lamar has a 12-month trailing P/E ratio of 59.4 and dividend yield of 1.6%.
The weekly chart is negative with its five-week MMA at $51.38 and its 200-week SMA down at $38.10. Semiannual and annual value levels are $42.37 and $37.84, respectively, with a monthly pivot at $51.25 and weekly and semiannual risky levels at $53.02 and $54.73, respectively.
Radian Group ($12.50) has been below its 200-day SMA at $14.51 since July 7, trading as low as $12.18 on Tuesday.
Analysts expect the company to report earnings of 26 cents per share. Radian has a 12-month trailing P/E ratio of 18.7 and dividend yield of 0.1%.
The weekly chart is negative with its five-week MMA at $13.51 and its 200-week SMA at $8.01. Semiannual value levels are $10.66 and $8.78 with a weekly pivot is $12.56 and monthly and quarterly risky levels at $14.32 and $20.36, respectively.
Transocean ($38.57) has been below its 200-day SMA at $44.73 since June 24, and traded at a multiyear intraday low of $38.12 on Tuesday. The stock is below all five moving averages in today's first "crunching the numbers" table.
Analysts expect the company to report earnings of $1.10 per share. Transocean has a 12-month trailing P/E ratio of 8.9 and dividend yield of 6.6%.
The weekly chart is negative with its five-week MMA at $41.76 and its 200-week SMA at $52.63. A monthly value level is $35.65 with weekly and quarterly risky levels at $43.04 and $45.75, respectively.
Crunching the Numbers with Richard Suttmeier: Moving Averages & Stochastics
This table provides the technical status for the stocks profiled in today's report.
The 12-month trailing price to earnings ratio
The Dividend Yield
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 or not 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.
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.
Crunching the Numbers with Richard Suttmeier: Earnings & Where to Buy & Where to 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.
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.
TheStreet Ratings team rates KEURIG GREEN MOUNTAIN INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate KEURIG GREEN MOUNTAIN INC (GMCR) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, expanding profit margins, impressive record of earnings per share growth and compelling growth in net income. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- GMCR's revenue growth has slightly outpaced the industry average of 4.1%. Since the same quarter one year prior, revenues slightly increased by 9.8%. Growth in the company's revenue appears to have helped boost the earnings per share.
- GMCR's debt-to-equity ratio is very low at 0.08 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with this, the company maintains a quick ratio of 2.84, which clearly demonstrates the ability to cover short-term cash needs.
- KEURIG GREEN MOUNTAIN INC has improved earnings per share by 18.4% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, KEURIG GREEN MOUNTAIN INC increased its bottom line by earning $3.16 versus $2.28 in the prior year. This year, the market expects an improvement in earnings ($3.79 versus $3.16).
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Food Products industry. The net income increased by 22.4% when compared to the same quarter one year prior, going from $132.42 million to $162.08 million.
- 47.54% is the gross profit margin for KEURIG GREEN MOUNTAIN INC which we consider to be strong. It has increased from the same quarter the previous year. Along with this, the net profit margin of 14.69% is above that of the industry average.
- You can view the full analysis from the report here: GMCR Ratings Report