Finally, Lions Gate Entertainment Corp. (USA) (NYSE:LGF) will report fiscal fourth-quarter earnings after the close on Thursday. The company has fared well in the earnings confessional, topping analysts' per-share profit projections in six of the past eight quarters. In fact, LGF averages a one-week post-earnings gain of 3.6%. Nevertheless, option buyers have been picking up LGF puts over calls at an accelerated clip, as the stock's 10-day ISE/CBOE/PHLX put/call volume ratio of 0.36 stands higher than 73% of all other readings from the past year. Elsewhere, short interest accounts for 13.3% of the stock's total available float, representing nearly seven sessions' worth of pent-up buying demand, at LGF's average pace of trading. Should the company once again top expectations, a mass exodus of option bears and/or a short-squeeze situation could propel the shares higher. At last look, LGF was fractionally higher at $28.93, and is on pace to end a second straight session atop its 80-day moving average -- a feat not accomplished since mid-March.
I am ready as well... If for some reason it sells off, I have cash on hand to buy more shares, and maybe some call options, at lower levels. IF there is a sell off, I can't imagine the price being down for long long with pre Mockingjay run coming in near future, release of Divergent on DVD, new films hitting theaters and other exciting news being disseminated about future growth opportunities. In other words, i think the downside risk is minimal where upside is pretty great at this level, good position to be in