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

Jan 11, 2017

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Economy & Finance

The Motley Fool
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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

Tesla MotorsTesla makes electric cars and other electric storage devices. The company will report earnings on Wednesday evening. Currently, 29% of Tesla’s shares are sold short.

Why is Tesla shorted? Take your pick. It’s an expensive stock. Some doubt the company can meet production goals. And other car makers are entering Tesla’s niche.

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

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

earnings of $0.10 per share for the previous quarter.

• Analysts expect the company to have collected $1.8 billion in sales for the previous quarter.

• For 2016, analysts expect the company to earn $1.76 per share on sales of $8.6 billion.

Over the Long Term• Tesla has already announced its

production numbers for the current quarter, but pay attention to average expected weekly deliveries in 2016.

• The company’s backlog, especially for the Model X, is a good indicator of demand for the future.

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

Zillow GroupZillow runs zillow.com, a leading real-estate listing website. The company reports earnings on Thursday evening.

Currently, 22% of Zillow’s shares are sold short.

Zillow currently trades for over 100 times trailing earnings, and over 70 times expected 2016 earnings. That’s expensive—and many investors wonder if Zillow really has a sustainable moat.

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

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

announce $169 million in revenue for the previous quarter.

• The company is expected to have made $0.01 per share last quarter.

• For 2016, expectations are set for $797 million in revenue and earnings of $0.27 per share.

Over the Long Term• Zillow needs to remain an

important source of leads for agents. – Check for growth in Total Premier

Agents, which stood at 62,305 last quarter, and grew by 2.3%.

– More importantly, look for the average revenue per advertiser (agent), which was $359 last quarter, and grew 32%.

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

Pandora MediaPandora runs pandora.com, the leading Internet radio provider. The company will report earnings on Thursday evening.

Currently, 20% of Pandora’s float is sold short.

Because of royalty payments, many have long questioned Pandora’s business model. Beyond that, the stock is selling for 46 times trailing earnings—which is very expensive.

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

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

Pandora to report revenue of $332 million for the previous quarter.

• They are also expecting the company to have earned $0.07 per share for the previous quarter.

• For 2016, analysts expect earnings of $0.08 per share on $1.4 billion in revenue.

Over the Long Term• Revenue per active listener is

key, as it shows that Pandora is both engaging its audience, and monetizing it. Last year, that figure stood at $3.29. Watch to see if/how much this metric grows.

Page 8: 3 Stocks That Could Make Huge Moves This Week

Don’t rely on these big moves to help fund your retirement!

Instead, save & invest early and often.

BUT, if it’s too late for such advice…we’ve got something for you!