Watch For Reversal Off Earnings-Driven Upside Move In Applied Materials After-Hours Trade
By Brooks McFeely:Applied Materials (AMAT) is due with its Q2 results after the close tonight, and analysts polled by Thomson Reuters are expecting the company to report a profit of $0.24 per share on revenue of $2.39 billion.AMAT has a tendency to reverse its after-hours movement the next day following an evening earnings event. It has done so after 19 of the last 32 earnings events.Looking deeper into the performance data, AMAT has recorded an earnings-driven after-hours gain in 16 of the 32 quarters we've tracked, and in 11 of those events, 69% of the time, the stock has reversed or narrowed its evening gain in the following day's regular session. On the downside, AMAT has recorded an after-hours decline in 16 of the 32 quarters we've tracked, cutting back or reversing its decline eight times, 50% of the time.
- On Feb. 16, 2012, AMAT advanced 4.7% in after-hours trade