If you’re trying to build your earnings season watch list by looking for stocks setting up in a base ahead of their next earnings report, here’s one that fits the bill: IBD 50 member Logitech International (LOGI). It’s expected to release its latest numbers around Apr. 29 and is currently about 5% below a 120.34 buy point. The entry is based on a third-stage cup without handle, which means it’s more prone to failure than a first- or second-stage formation.
Keep in mind that buying close to when a stock reports can be risky. You don’t know how the stock will report and how the market will react, and you don’t have enough time to build a profit cushion. You can minimize your risk by waiting to see the actual numbers and the market’s reaction.
While earnings growth fell in the company’s most recent quarterly report from 274% to 192%, sales rose 85%, up from 75% in the prior report.
Consensus analyst estimates call for earnings growth of 102% for the quarter, and 168% growth for the full year. Annual growth estimates were recently revised lower.
The company has a 99 Composite Rating and holds the No. 1 rank among its peers in the Computer-Hardware/Peripherals industry group. Dell Technologies (DELL) and Corsair Gaming Inc (CRSR) are also among the group’s highest-rated stocks.
Note: Dates for earnings reports are subject to change. Check the company’s website for any updates.
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