Two Ways: Market Surges, Leaves Wal-Mart Behind
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Despite the miss, Wal-Mart says it still expects net income for the fiscal first quarter to come in at the high end of its range: $0.72 to $0.77 per share, as compared with analysts' estimates of $0.76 per share.
The company did say that traffic at its US discount stores increased for the sixth consecutive month. But average spending fell overall.
Shares were down 2.5% to $51.20 in the late afternoon session.
See Professor Jeff Macke's comments in Apple, Goldman Race Toward Resistance?
From the Bull Pen: As Professor Jeff Macke mentioned, Wal-Mart back toward the 48 level could be a buying opportunity. One option is to fade (read: buy) the stock into that level, with a sell stop below.
From the Bear Cave: Is the S&P 500 (SPX) due for a corrective move? Those looking for short exposure can consider using puts (defined risk) on the S&P Depository Receipts (SPY) into the 86 level.
Have a great long weekend, Minyans! See ya next week!
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