If you're looking for stocks that are in a buy zone ahead of their next quarterly report, here's one that fits the bill: Dow. It's planning to release its first quarter earnings report Thursday morning, and Dow stock rose above a first-stage cup-with-handle 65.04 buy point on Monday.
Dow showed 165% earnings growth last quarter, to $2.15 per share. It was its fourth quarter in a row of triple-digit profit growth. Sales grew 34% in Q4 to $14.4 billion.
Analysts are looking for EPS growth of 50% for the first quarter.
Midland, Mich.-based Dow is known for its chemicals, adhesives and other materials used in just about every industry.
Dow stock has formed an 11-month-long cup base, dropping to 52.07 in December before rising up the right side of the cup. It's climbed about 27% since then to close at 65.88 Monday, up 0.6% for the day despite the major indexes all being down.
Dow Stock No. 2 In Group
Dow stock has a 92 Composite Rating, an 89 EPS Rating, and earns the No. 2 rank among its peers in the Chemicals-Plastics industry group. Advansix is the top-ranked stock in the group.
Looking For The Best Stocks To Buy And Watch? Start Here
Understand that buying just before a stock reports can be risky, since disappointing numbers could send it sharply lower. You can minimize your risk by waiting to see the actual numbers and the market's reaction. Another way to minimize the risk of a post-earnings sell-off is to use an options strategy.
Note: Dates for earnings reports are subject to change. Check the company's website for any updates.
Please follow James DeTar on Twitter @JimDeTar
