Earnings season is in full swing and, so far, we've seen some really solid results. That might seem counterintuitive, given the bloodbath of late; however, two companies that recently knocked it out of the park were Snap (SNAP) and Pinterest (PINS).
In the case of SNAP, you can see in the chart above that traders loved what they heard and saw, with the company rocketing almost 55% in just a few days after they released their numbers.
Then there was Pinterest, beating earnings expectations by a mile.
In the case of PINS, the stock rose 40% the day after it reported its numbers. Not too shabby!
The good news for traders is both stocks have pulled back, being swept lower as a result of the overall market slide. And even if they move lower, there's a decent chance both stocks will resume their move higher once the overall market settles down and as traders gravitate to the "best of the best." In fact, these are the types of stocks you should be tracking, especially those that beat both top and bottom line estimates, plus guide higher.
At EarningsBeats.com, that's what we do; scan for companies that beat both top and bottom line expectations and have promising charts. Those stocks end up on our "Strong Earnings ChartList" available to our members. We also like to "look forward" by identifying those stocks that have a high probability of beating expectations. In fact, our Chief Market Strategist Tom Bowley has identified another stock in the Internet Sector that is getting set to report that might see the same type of bullish reaction as SNAP and PINS. If you would like to see Tom's thoughts on the stock, just click on this link and sign up for our FREE EarningsBeats Digest; it will be highlighted in Monday's edition.
In the meantime, keep your eyes out for those companies that post strong numbers, as these are the stocks that are likely to be the most sought after, especially in a choppy market environment.
At your service,