My Favorite Four Plays This Week

Feb 06, 2022

We’re just a few weeks into this earnings season and so far it’s been… well… wild.

Stocks have been extremely volatile over the past few weeks, and the moves after earnings reports are nothing short of stunning.

In fact, just this past week we saw Meta/Facebook (FB) drop by more than 25% on Thursday after its earnings report, while rival Snapchat (SNAP) surged nearly 50% on Friday after its report.

Those are huge moves, which mean big opportunities for savvy traders with an edge.

The LikeFolio Sunday Earnings Sheets have produced some awesome winners as well, with several plays that could have returned more than 100% profits, including earnings trades on Phillips 66 (PSX), Microsoft (MSFT), Unity Software (U), Penn National Gaming (PENN), Google (GOOGL), and even Wells Fargo (WFC), where our trade strategy posted a 335% profit in just five days.

But those big winners are in the past.

And today is Sunday — which means a new Sunday Earnings Sheet is going out to members tonight. There are lots of trades this week, some of which I believe could return more than 300% by close on Friday.

Here are four names we’re watching closely:

  1. Peloton (PTON) — Our trading strategy hit a +355% profit on a bearish trade last quarter, and we’re looking for similar results this time. The company has struggled in a post-pandemic world, and guidance will be the key factor to this report when it comes out Tuesday after market hours.
  2. Wendy’s (WEN) — Our “system” earnings trades have historically been perfect on this name, netting a profit on 3/3 signals. So we’re happy to report that tonight’s sheet will have an actionable signal on this stock again. Reports Thursday before the market.
  3. Uber (UBER) — Andy had a +108% trade last quarter with a “bullish coin flip” strategy on Uber, and I think he’s betting on a move higher again this week. Reports Wednesday after the market.
  4. Under Armour (UAA) — Historically, LikeFolio data has been incredible for Under Armor earnings. System trades are 4/4, Andy is 3/3, and Landon is 1/1 — with each signal grabbing a profit last quarter. We’ve got another solid signal in this week’s report, which is expected on Friday before the market opens.

Bottom line?

Earnings season is just hitting its stride, and there are plenty of high-profit opportunities left on the table.

And it all starts tonight at 7 p.m., when we’ll be mailing out our famous Sunday Earnings Sheet accompanied by the video roundtable discussion between Landon and me.

I hope you’ll join us. Let’s turn this market volatility into profit opportunities together!

Harrison Sweeney
Research Analyst, LikeFolio