If you guys follow Level II, the quotes are comical. I find a lot of the quotes from the EDGX exchange are fake, that is they're thrown out there probably by the market makers. A few minutes ago there was a bid for 7,200 shares, at about $54.80 or so. As soon as it traded a bit higher, the bid disappeared. I think the MM's do this to provide liquidity, esp in the light trading in AH.
I was long this stock at $62, and should of sold at $68, but I didn't. Instead, I sold at $65, hoping to reenter in the $60 range after earnings. Here's the problem....You're not just paying for a small revenue shortfall, because that misses the point. The point is growth stocks are priced for perfection. Any sign that growth is slowing will cause a repricing of the valuation, and that's what's happening in after hours and will probably continue tomorrow. They say they raised their guidance, but the "raise" is simply in line, or just meeting the street's analyst expectations. As I said in another post, I don't know where it's headed from here, but my first guess is probably to the $49-$50 range within days.
Growth stocks, like LCI, are priced for growth. When the growth starts to slow, the market reprices the equity. Where it ends up depends on many things, including the technicals. Sorry I can't give you an accurate figure.
I'm surprised to see gold taking a beating here as well. It looks like traders are getting out of everything. I'm net short, and have been for weeks.....this looks like, feels like, and probably (finally) is the big one. And as I posted earlier, even just a 10% correction takes this to 1912, so there's a long way to go.
Enjoy the ride, because I think it's finally coming....
Next to the futures market, oil is the most manipulated trade of all. Notice all the oil and oil service stocks are also falling. The oil rally is way overextended, and now it's headed back down.
"Let it go, let it go".......
Unfortunately this news has been priced in, as crude has rallied from $40 to over $60 in just a few months. It looks like those who bid up oil are taking profits today.
This does not bode well for Friday's number....of course bad news will be spun as good news...There is no recovery.....
They said sand demand would still be challenging in the 2nd quarter.
135% premium? This stock had 4.5 million shares short!
and when it falls with the broader market, it will fall harder than most stocks. Analysts are trying to save the market by giving ridiculous price targets to some of the larger momentum plays, but the weight of the correction will effect all stocks. My new price target for Netflix is $415, in three months or less.