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3 Stocks That Could Make Huge Moves This Week
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Page 1: 3 Stocks That Could Make Huge Moves This Week

3 Stocks That Could Make Huge Moves This Week

Page 2: 3 Stocks That Could Make Huge Moves This Week

NetScout SystemsNetScout provides products that help manage and measure computer network performance. The company is expected to release earnings on Wednesday morning.

Currently, 30% of NetScout’s shares are sold short.

Last year, NetScout announced the acquisition of Danaher’s communications division. The deal is expected to close some time before the end of 2015. Investors were either betting against approval, or believe that the move is not in shareholder’s best interests. Photo: NetScout

Page 3: 3 Stocks That Could Make Huge Moves This Week

Here’s What You Should WatchOver the Short Term• NetScout is expected to

report earnings of $0.32 per share for the previous quarter.

• Analysts expect the company to have collected $104 million in sales for the previous quarter.

• For the rest of the current fiscal year, analysts are expecting the company to bring in $2.18 per share on sales of $503 million.

Over the Long Term• More than anything, listen in to

the conference call for details on the Danaher acquisition.

• Shareholders need to hear about how quickly synergies between the Danaher unit and NetScout will be realized, and what milestones management has established to check this progress.

Page 4: 3 Stocks That Could Make Huge Moves This Week

Advanced Micro DevicesAMD is a leading semiconductor manufacturer. The company is expected to report earnings on Thursday evening

Currently, 18% of AMD’s shares are sold short.

AMD provided updated guidance in a pre-release of second quarter results last week. The release said that revenue was expected to fall 8%--versus previous guidance of a 3% fall—on weak demand in the PC market.

Page 5: 3 Stocks That Could Make Huge Moves This Week

Here’s What You Should WatchOver the Short Term• Before the pre-release,

AMD was expected to bring in $1 billion in revenue for the previous quarter.

• Before the pre-release, the company was expected to have lost $0.10 per share.

• For the rest of the fiscal year, expectations are set for $4.3 billion in revenue and a loss of $0.24 per share.

Over the Long Term• AMD is in the middle of a

prolonged contraction because of weakness in the PC market, and the commoditization of products through competition with Nvidia.

• Listen in to see how sales of the company’s two new lines—the Radeon 300 series, and the Nano and Fury series—are developing.

Page 6: 3 Stocks That Could Make Huge Moves This Week

MattelMattel is a leading provider of children’s toys and games. The company is expected to report earnings on Thursday evening.

Currently, 12% of Mattel’s shares are sold short.

Mattel has been losing to competitor Hasbro over recent years. At the same time, both sales and earnings have been shrinking.

Photo: Mattel

Page 7: 3 Stocks That Could Make Huge Moves This Week

Here’s What You Should WatchOver the Short Term• Analysts are expecting

Mattel to report revenue of $998 million for the previous quarter.

• They are also expecting earnings to come in at a loss of $0.04 per share for the previous quarter.

• For the rest of 2015, expectations are set for $5.8 billion in sales with earnings of $1.37 per share.

Over the Long Term• Doll sales (via Barbie and

American Doll) are very important for Mattel. Though sales are usually light during the second quarter, listen in for details on expectations for these two brands.

• Over the past 12 months, Mattel has used 99% of its free cash flow (FCF) to pay out its dividend. Without a corresponding jump in FCF, a dividend cut could be in the future.