Schaeffer's "Behind the Headlines" Highlights the Following Stocks: American Greetings, Bristol-Myers Squibb, Carnival, and General Mills.CINCINNATI -- Today's "Behind the Headlines" from Schaeffer's Investment Research focuses on American Greetings American Greetings Corporation, Inc. NYSE: AM is the world's largest publicly-traded greeting card company. It is based in Cleveland, Ohio and sells paper greeting cards, electronic greeting cards, party products (such as wrapping papers and decorations), and electronic (NYSE NYSE See: New York Stock Exchange :AM), Bristol-Myers Squibb Bristol-Myers Squibb (NYSE: BMY), colloquially referred to as BMS, is a pharmaceutical corporation, formed by a 1989 merger between pharmaceutical companies Bristol-Myers Company, founded in 1887 by William McLaren Bristol and John Ripley Myers in Clinton, NY (both were (NYSE:BMY BMY Bristol Myers Squibb ), Carnival (NYSE:CCL 1. CCL - Coral Common LISP. 2. CCL - Computer Control Language. English-like query language based on COLINGO, for IBM 1401 and IBM 1410. ), and General Mills  This article or section may contain a proseline.Please help [ convert this timeline] into prose or, if necessary, a . (NYSE:GIS). "Behind the Headlines" is a report that analyzes newsworthy stocks that are generating a lot of attention on Wall Street. "Behind the Headlines" is published on www.SchaeffersResearch.com - the home of Bernie Schaeffer and Schaeffer's Investment Research. Take advantage of the timely Schaeffer commentaries by signing up for their free e-newsletters -- Opening View, Market Recap, and Monday Morning Outlook. Click here to have the Schaeffer's commentaries delivered to you free via email every day and get entered to win an iPod Nano A flash-based digital music player from Apple, introduced in 2005. Like larger iPod models, the nano has a color screen. Although the nano name suggests ultra-small "nanotechnology," the iPod shuffle is actually smaller. See iPod. . http://www.schaeffersresearch.com/redirect.aspx?CODE=PROAW13M&PAGE=1. Behind the Headlines: Earnings News Drives Price Action American Greetings: American Greetings (NYSE:AM) netted a tidy gain in profits during its third quarter, banking 83 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. from 19 cents in the previous year. Net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight reached $512.2 million during the period. Results were mixed when compared against Wall Street expectations for per-share earnings of 35 cents on $516 million in revenue. Investors are reacting well to this news, sending the stock to a new annual high in Thursday's trading. AM is now staring down congestion The condition of a network when there is not enough bandwidth to support the current traffic load. congestion - When the offered load of a data communication path exceeds the capacity. in the 25 region, which thwarted previous rally attempts in the shares throughout 2005. Also hovering in this area is the equity's 160-month moving average. Ironically, the bearish Bearish Words used to describe investor attitude. A bearish investor believes that a particular asset or the market as a whole will decline in value. bearish crowd could possibly provide AM with the strength needed to overtake this barrier. More than 16 percent of AM's available float is currently sold short, amounting to a robust short-interest ratio short-interest ratio A ratio that is used for market analysis and is calculated by dividing short interest by average daily volume. Technicians use the short-interest ratio as a tool to determine market direction. of 23 days to cover. With the stock trading at annual highs, some bears may choose to toss in the towel on their presumably pre·sum·a·ble adj. That can be presumed or taken for granted; reasonable as a supposition: presumable causes of the disaster. losing positions, creating a short squeeze Short Squeeze A situation in which a lack of supply and an excess demand for a traded stock forces the price upward. Notes: Short squeezes occur more often in smaller cap stocks with small floats. to drive the shares higher. Click the following link to see the monthly chart of AM since November 2000 with 160-month moving average: http://www.schaeffersresearch.com/wire?ID=17931 . Bristol-Myers Squibb: Pharmaceutical heavyweight Bristol-Myers Squibb (NYSE:BMY) said this morning that it reached a preliminary agreement with the U.S. Justice Department and the Office of the U.S. Attorney for the District of Massachusetts. BMY will pay $499 million and sign a corporate integrity agreement. For a more thorough analysis of this news, please refer to this article (http://www.schaeffersresearch.com/commentary/observations.aspx?click =home&ID=17922) (Due to its length, this URL URL in full Uniform Resource Locator Address of a resource on the Internet. The resource can be any type of file stored on a server, such as a Web page, a text file, a graphics file, or an application program. may need to be copied/pasted into your Internet browser's address field. Remove the extra space if one exists.) written by Jocelynn Drake this morning. When it comes to putting the past in the past, any news is typically good news, as a settlement allows the company to move forward. BMY has moved marginally higher today, but one thing it seems unlikely to leave in the rearview mirror anytime soon is its sideways trend, which has contained the shares since mid-2002. For more than four years, the Years, The the seven decades of Eleanor Pargiter’s life. [Br. Lit.: Benét, 1109] See : Time stock has been sandwiched between the 19.5 and 30 levels. Further defining this range in the short term are the stock's January 25 and 27.50 calls. Home to 75,989 and 75,249 contracts, respectively, these near-the-money options flank the stock's current position. A hint of the equity's future direction can be found in its 80-month and 160-month moving averages, which recently forged a bearish crossover, suggesting that the next directional move for BMY, if any, could be to the downside. Click the following link to see January's open-interest configuration and a monthly chart of BMY since August 2001 with 80-month and 160-month moving averages: http://www.schaeffersresearch.com/wire?ID=17931 . Carnival: If they could see it now! Carnival (NYSE:CCL) reported fourth-quarter earnings this morning of $416 million, or 51 cents per share, a dime-per-share better than last year's results. Revenue expanded by more than nine percent to $2.81 billion. Both figures surpassed analysts' estimates of 47 cents per share and $2.79 billion. The stock has rallied more than two percent today and is back above its 10-week moving average, below which CCL has closed for the past three weeks. If you were a fan of cliches (or the Rolling Stones Rolling Stones, English rock music group that rose to prominence in the mid-1960s and continues to exert great influence. Members have included singer Mick Jagger (Michael Phillip Jagger), 1943–; guitarists Brian Jones ), you might say that CCL is now between a rock and a hard place. On the downside On the Downside is an EP by the San Diego, California band Counterfit, released by Alphabet Records in 2000. It was the band's first EP, recorded shortly after the members had relocated to San Diego from Fairfield County, Connecticut. , at the 45 strike, is peak put open interest. The 21,000 puts in the January series may act as structural support through January expiration, as those who sold the positions attempt to keep the stock afloat. Overhead, however, are nearly 17,000 calls at the out-of-the-money 50 strike. This represents potential short-term resistance for the stock. Click the following link to see January's open-interest configuration and a weekly chart of CCL since July 2006 with 10-week moving average: http://www.schaeffersresearch.com/wire?ID=17931&obspage=2 . General Mills: General Mills (NYSE:GIS) has entered new-high territory today thanks to a well-received positive earnings surprise. For a full breakdown of the consumer food concern's second-quarter earnings report, follow this link (http://www.schaeffersresearch.com/commentary/ http:/www.schaeffersresearch.com/commentary/observations.aspx?click=ho me&ID=17925). (Due to its length, this URL may need to be copied/pasted into your Internet browser's address field. Remove the extra space if one exists.) As I mentioned this morning, the expectations bar for GIS was set fairly low heading into the earnings report, with the majority of analysts sitting on the fence and the investing public expecting a lackluster earnings figure. The shares have capitalized on this environment to sprint nearly two percent higher today. The security's next challenge is the 60 strike, which is home to peak call open interest in the January series. At the current juncture, nearly 7,000 out-of-the-money calls reside at this strike, providing a bit of a challenge in the form of options-related resistance. Should GIS proceed to muscle through this threshold, it should be smooth sailing ahead. Click the following link to see January's open-interest configuration for GIS: http://www.schaeffersresearch.com/wire?ID=17931&obspage=2 . The best way to take advantage of the timely Schaeffer commentaries is to sign up to receive their free e-newsletters -- Opening View, Market Recap and Monday Morning Outlook. Click here to have the Schaeffer's commentaries delivered to you free via email every day and get entered to win an iPod Nano. http://www.schaeffersresearch.com/redirect.aspx?CODE=PROAW13M&PAGE=1 . About Schaeffer's Investment Research (www.SchaeffersResearch.com) Schaeffer's Investment Research, founded by Bernie Schaeffer in 1981, is a financial information and trading resources company. It publishes Bernie Schaeffer's Option Advisor, the nation's leading options subscription newsletter. The firm's contrarian approach focuses on stocks with technical and fundamental trends that run counter to investor expectations. The firm's website, http://www.SchaeffersResearch.com , is recognized as one of the leading information sources for stock and options traders and was cited as the top options website by both Forbes and Barron's. Click here for more details about Schaeffer's trading methodology: http://www.SchaeffersResearch.com/method . |
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