Krispy Kreme, Men's Wearhouse Headline Earnings

Richard Suttmeier

NEW YORK ( TheStreet) -- Today's buy-and-trade earnings previews focus on eight companies that report results in the afterhours today through afterhours on Wednesday. We begin with buy rated donut maker Krispy Kreme today, to buy rated clothier Men's Wearhouse on Wednesday.

Men's Wearhouse will be scrutinized as its hold rated rival Joseph A Bank reports premarket on Thursday. Both clothiers are in a bidding war to buy each other with the latest bid by Mens Wearhouse. Both stocks are overvalued by 63% and traded to multi-year highs last week at $52.72 and $57.59 respectively. Mens Wearhouse set its all-time high at $56.64 in July 2007, while Joseph A Bank set its all-time high last Friday.

The eight stocks in today's table include seven from the retail-wholesale sector and one from the consumer discretionary sector. That sector is 35.7% overvalued with an equal-weight rating. Of the 394 stocks 82.2% in this sector have hold ratings.

The retail-wholesale sector is 31.6% overvalued with an overweight rating. Of the 343 stocks 78.7% in this sector have buy or strong buy ratings.

Six of the seven retail-wholesale stocks in today's table have buy ratings and the other two stocks have hold ratings. Five stocks are overvalued by 24.7% to 80.5%. One stock is down 23.1% over the last 12 months while seven have gains of 29.4% to 176.5% over the 12 months. One is below its 200-day SMA while six are above their 200-day SMAs which reflect the risk of reversion to the mean.


Reading the Table

OV/UN Valued: Stocks with a red number are undervalued by this percentage. Those with a black number are overvalued by that percentage according to ValuEngine.

VE Rating: A "1-engine" rating is a strong sell, a "2-engine" rating is a sell, a "3-engine" rating is a hold, a "4-engine" rating is a buy and a "5-engine" rating is a strong buy.

Last 12-Month Return (%): Stocks with a red number declined by that percentage over the last 12 months. Stocks with a black number increased by that percentage.

Forecast 1-Year Return: Stocks with a red number are projected to decline by that percentage over the next 12 months. Stocks with a black number in the table are projected to move higher by that percentage over the next 12 months.

Value Level: Price at which to enter a GTC limit order to buy on weakness. The letters mean; W-weekly, M-monthly, Q-quarterly, S-semiannual and A-annual.

Pivot: A level between a value level and risky level that should be a magnet during the time frame noted.

Risky Level: Price at which to enter a GTC limit order to sell on strength.

Aeropostale ($10.32) set a multi-year low at $7.78 on Sept. 4, then a secondary higher low at $8.08 on Nov. 8 and has been above its 50-day simple moving average at $9.37 since Nov. 19. The hold rated retailer of casual apparel target to teenagers has a monthly value level at $9.88 with its 200-day SMA at $12.32.

Bob Evans Farms ($55.59) set a multi-year high at $60.22 on Sept. 24 then traded as low as $53.27 on Nov. 7. The buy rated food distributor and restaurant is well above its 200-day SMA at $48.83 with a weekly pivot at $56.57 and quarterly risky level at $59.24.

Express ($24.61) set a multi-year high at $24.87 on Tuesday. The buy-rated specialty retailer of men's and women's apparel is well above its 200-day SMA at $20.92 with a weekly pivot at $23.25 and monthly risky level at $26.75.

Isle Of Capri ($8.13) moved above its 200-day SMA at $7.45 on Nov. 21 to a high of $8.25 on Friday. The hold-rated owner of branded gaming and lodging establishments has a quarterly pivot at $8.35 with a monthly risky level at $9.31.

Krispy Kreme ($25.38) traded to a new multi-year high at $26.63 on Nov. 21. The buy rated donut maker is well above its 200-day SMA at $18.50 with a monthly pivot at $26.34 and weekly risky level at $26.60.

Mattress Firm ($37.13) has been above its 200-day SMA at $35.99 since Nov. 15 trading as high as $39.54 on Nov. 18. The buy rated maker of mattresses has a weekly value level at $35.71 with a monthly risky level at $39.38.

Men's Wearhouse ($51.12) set a multi-year high at $52.72 on Tuesday. The buy rated retailer of menswear has a monthly value level at $47.41 with a weekly risky level at $59.01.

Shoe Carnival ($28.93) traded to a new multi-year high at $29.00 on Friday. The buy rated value-oriented retailer of family footwear has a weekly value level at $27.36 with a semiannual pivot at $28.38 and semiannual risky level at $30.37.

At the time of publication the author held no positions in any of the stocks mentioned.

This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.

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