Exactly, YHOO has a strong history of rallying into earnings.
I believe the claim being made though, is that YHOO has "disappointed investors" at earnings-time, since it tends to sell off after the earnings numbers are disclosed by YHOO management every quarter.
Perhaps the poster doesn't realize, that this is NORMAL Wall Street behavior. Nowadays, especially in tech stocks, if a company merely "meets" earnings expectations (posted by the analysts beforehand), the stock is normally "killed" as punishment. It's only right, what do they think they're doing just meeting earnings? :)
Actually, of course there is a hidden, "whisper" number for every stock, usually a few points above the expected earnings number, that (especially tech) stocks are expected to meet. If a company misses the "whisper" number, then it is going to get hammered. Especially, in the sideways/nervous to down market environment like the one we have going now.
Hopes this helps the beginners visiting here. |
