Big Lots (BIG) Rallies on Stronger Expectations
Mar
2
Written by:
3/2/2010 12:00 AM
Big Lots (BIG) Rallies on Stronger Expectations
Big Lot Inc, the closeout retailer, has rallied recently on strong expectations for current and future quarter earnings. The company has beat earnings expectations four quarters in a row while earning 27 cents a share at the end of their 3rd quarter compared to expectations of 18 cents. The company is ready to announce their 4th quarter earnings for 2009 on Wednesday with estimates at $1.28 a share. This is a 28% improvement over the same quarter a year ago.
Next quarter is also looking well with analysts recently improving expectations to 53 cents a share from 47 cents a share 3 months ago. The companies forward looking Price/Earnings is at 13.07 after a nice 2.24% rise today. Revenue growth is moving higher each quarter on a year-over-year basis near 5% each period.
Options action for BIG Call options has been strong over the last two weeks. There has been 5 times more Call action for Big stock options compare to interest in Put options. The March 35 Calls are particularly popular which is slightly above the current trading price of $34.24 a share. You could purchase the stock going into earnings and place a trailing stop in case the earnings aren’t as strong as expected. Waiting until after the earnings would be a safe trade if the company increases their expectations for future quarters.
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11 comment(s) so far...
Re: Big Lots (BIG) Rallies on Stronger Expectations
I think the evaluation of earning expectation is quite appropriate and simply explained by you.
By motor bike rider on
3/4/2010 5:13 AM
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Re: Big Lots (BIG) Rallies on Stronger Expectations
While supporting your post with a simple graph has made it more comprehensive for readers to come to know the evaluation of earning.
By holiday cottages on
3/4/2010 11:55 AM
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Re: Big Lots (BIG) Rallies on Stronger Expectations
Great post,the graph is really explicite making the evaluation of eanings easy to understand.thanks for sharing
By Line on
3/6/2010 7:22 AM
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Re: Big Lots (BIG) Rallies on Stronger Expectations
Stock trading is new thing for me. Here i came to learn about it and figure it out completely. So tell me first that what is the big option of call action?
By Underfloor heating on
3/8/2010 4:11 AM
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Re: Big Lots (BIG) Rallies on Stronger Expectations
Another great post! I will be tracking BIG's performance starting today. Thanks!
By Eugene on
3/15/2010 1:08 AM
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Re: Big Lots (BIG) Rallies on Stronger Expectations
I have been to their website and they carry a lot of interesting products. I've never been to their stores though but I plan to pay them a visit one of these days.
By Eugene on
3/15/2010 11:49 AM
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Re: Big Lots (BIG) Rallies on Stronger Expectations
Big Lot will also generate big revenues
By Invesp on
3/27/2010 6:19 AM
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Re: Big Lots (BIG) Rallies on Stronger Expectations
This is another good find. Stock is currently at $37.51 making it quite an attractive pick up for some quick gain. It has been trending up and the outlook appears to be all positive.
By Andrew Mercer on
3/28/2010 8:23 AM
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Re: Big Lots (BIG) Rallies on Stronger Expectations
Great stuff here. I'll be monitoring this stock. Seems like a good pick up at this price point.
By Charles Ferris on
3/30/2010 7:07 PM
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Re: Big Lots (BIG) Rallies on Stronger Expectations
Closed at $39.22 yesterday. This would have been a nice pick up some two weeks ago.
By Jennifer Smith on
4/9/2010 9:49 PM
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Re: Big Lots (BIG) Rallies on Stronger Expectations
This would have been a nice
By prefabrik on
5/28/2011 2:37 AM
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