The stock is down because most metrics went in the wrong direction. Gross margins look poor, backlog is down significantly, order intake was weak and cash flow was a mess. Given that the stock was trading close to 52-week-highs going into the report today's small haircut looks pretty gently. Avoid.
didn't play out as expected so far - but the stock looks vulnerable when looking at the mediocre volume and the rather poor advance despite a great day for the indices and a reassuring conference call. Would still expect this to end firmly in the red. Added more to the short.
investors might be even more concerned than before after the call and I would expect the shares to test the $20 mark shortly after the market opens this morning. Ugly setup.
momentum traders getting absolutely killed - stock virtually doubled within 8 weeks which of course was unsustainable
FXCM is essentially buying the customers from Citi for a rather small amount, otherwise the purchase price would have been disclosed. But this is not a material transaction as the transaction volume of Citi's clients is obviously a tiny fraction (around 8%) of the retail volume currently generated by FXCM clients.
which I am taking as a chance to short the stock third time. Upgrades when the stock is already stuck in a sell-off do only have very limited temporary effect. Full position, looking for the shares to break $25 again
covered $25.01 for the second load. Fantastic. No further action here. Expect the shares to remain under heavy pressure for a few more days.
For long term investors: Would still wait for a better entry point just above $20 here. The stock needs a breather to consolidate its latest gains. Valuation is also an issue with the company's pe above BABA and even VIPS.