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| PLAY >New Drops |
Tuesday, May 15, 2001 |
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New Split Drops
| KNGT - Knight Transportation $27.48 +2.12 (-0.06) |
KNGT suffered a round of selling yesterday that knocked us out of this play. The drop was unusual because it was not precipitated by any news. However, the quick exit from this play illustrates the risk associated with stocks that have low average daily volume. The ADV for KNGT is 63,400. The drop was likely due to one major investor that exited his position because KNGT immediately snapped back today. Of course, this is just speculation because we do not know for sure why KNGT suffered from this unusual volatility over the past two days.
New Candidate Drops
None
New Momentum Drops
| HD
- Home Depot $50.10 +0.95 (+0.22)
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This play never really got going for us. This was probably due to the fact that the overall market is stuck in a narrow trading range. The good consumer confidence news last week suggested that Home Depot might be able to exceed analysts earnings estimates when the company reported this morning. Sure enough, Home Depot beat the consensus estimates by 2 pennies by reporting profits of $0.27 a share. If HD can continue to tick up like it did today, we may jump on this stock again.
| WSM
- Williams Sonoma Inc. $30.21 +0.21 (+0.12)
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Monday was the end of the road for WSM, as we dropped the retailer ahead of it earnings announcements today. For the record, WSM posted earnings of $492,000, or $0.01 per share, for the first quarter, versus $4.8 million, or $0.08 per share, in the year-ago period. Unfortunately, we exit WSM with a $1.10 loss.
Drops Index
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