NEW YORK (TheStreet) -- At the beginning of each week I provide my buy-and-trade strategies, profiling what I believe are key companies that report quarterly results during that week.
Sometimes I do this in one post, and sometimes I have to split it into two posts. Then at the beginning of the following week I post a scorecard of how these stocks performed going into their earnings reports and reacted following the reports.
On Sept. 23, I profiled six stocks in "KB Home, Lennar, AutoZone, CarMax Headline Earnings Preview." Five beat expectations, and one missed. Then on Sept. 24, I profiled another six stocks in "Nike Set to Report Earnings." Three beat, one matched, and the other two rescheduled results to a later date.
We enter the fourth quarter with 76.8% of all stocks overvalued and 43.4% overvalued by 20% or more. Fifteen of 16 sectors are overvalued, 13 by double-digit percentages and 10 overvalued by more than 20%.
Here's Today's Earnings Scorecard:
Accenture ($73.64) beat EPS estimates by a penny, reporting earnings per share of $1.01 after the close on Thursday. After closing at $75.87 on Thursday, the stock had a negative reaction to the earnings report on Friday, trading to in intraday low of $72.36. On Monday, the stock closed below its 50-day and 200-day simple moving averages at $73.92 and $75.24, respectively. The stock retains a hold rating with weekly and semiannual value levels at $73.11 and $72.61, respectively, and a monthly risky level at $79.04. My semiannual value level at $72.61 held at the reaction low.
Autozone ($422.57) missed EPS estimates by 58 cents when it reported EPS of $9.76 before the market opened Wednesday. The stock opened lower Wednesday, traded down to $410, then rebounded to its 50-day SMA at $426.88. Autozone remains buy-rated, with a weekly value level of $393.47, a semiannual pivot of $425.00 and a quarterly risky level of $448.36. My semiannual pivot at $425.00 proved to be a magnet, which is a key to my buy-and-trade strategy. Bed Bath & Beyond
($77.23) beat EPS estimates by a penny, reporting EPS of $1.16 after the bell on Wednesday. The stock closed that day at $74.22 and then gapped higher at the open on Thursday to $78.88, which is between my semiannual pivot at $76.93 and my semiannual risky level at $80.54. Bed Bath & Beyond maintains a buy rating with a new quarterly value level at $74.81, with semiannual pivots at $76.93 and $80.54 and a monthly risky level at $82.21.
Finish Line ($24.87) beat EPS estimates by 9 cents, reporting EPS of 54 cents before the market opened on Friday. The stock, which closed Thursday's session at $22.39, gapped to a new 2013 high at $25.10 on Monday. Finish Line maintains its buy rating with a weekly value level at $22.19. New quarterly and monthly pivots are at $23.18 and $24.24, respectively, and the semiannual risky levels are at $28.51 and $29.89.
Jabil Circuit ($21.68) beat EPS estimates by a penny, reporting EPS of 48 cents after the bell on Wednesday. The stock closed at $24 on Wednesday, gapped lower on Thursday, and traded as low as $21.15 on Monday. The low was a test of my monthly value level at $21.37. Jabil maintains its buy rating with annual value levels at $14.28 and $12.96, respectively, and monthly, weekly and quarterly risky levels at $22.12, $22.35 and $23.40, respectively.
KB Home ($18.02) beat EPS estimates by 9 cents by reporting EPS of 29 cents before the market opened last Tuesday. The stock traded mostly around its 50-day SMA at $17.13 and has stayed below its 200-day SMA at $19.20 since then. KB Home still has a strong-sell rating with a weekly value level at $16.23 and monthly, annual and quarterly risky levels at $19.73, $22.94 and $23.70, respectively.
CarMax ($48.47) beat EPS estimates by 5 cents, reporting EPS of 62 cents before the market opened last Tuesday. The stock opened to a new multiyear high at $52.47 last Tuesday, then traded to a postearnings low of $48.31 on Monday, below its 50-day SMA at $49.25. The high was a test of my monthly risky level at $51.94. CarMax maintains its buy rating with the 200-day SMA at $44.13 and weekly and semiannual risky levels at $49.36, $50.77 and $50.94, respectively.
Lennar ($35.40) beat EPS estimates by 8 cents, reporting 54 cents a share before the market opened last Tuesday. The stock has traded between its 50-day SMA at $33.84 and its 200-day SMA at $38.23 since then without testing either level. Lennar maintains a sell rating with weekly and monthly value levels at $33.03 and $32.49, respectively, and semiannual risky level at $40.29.
McCormick ($64.70) matched EPS estimates, reporting earnings of 78 cents a share before the market opened Thursday. The stock gapped lower and traded to a week's low of $64.04 on Friday. McCormick stayed below its 200-day SMA at $69.33 before the earnings, but it still has a buy rating. My annual value levels are $53.12 and $50.15, with a weekly pivot at $64.20 and semiannual risky levels at $67.62 and $75.36.
Nike ($72.64) beat EPS estimates by 8 cents, reporting earnings of 86 cents a share after the market closed Thursday. The new Dow component closed at $70.34 on Thursday and gapped to a new multiyear high at $75.25 on Friday. Nike maintains its hold rating with a weekly value level at $68.48, a quarterly pivot at $71.62 and a monthly risky level at $73.38.
At the time of publication, Suttmeier had no positions in stocks mentioned.
This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.
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