Next Week's Can't Miss Earnings (ATHN, SQNM, ABK, NKE, FDX, GME, COMS, PALM)

Earnings season is over.  Well, sort of.  We have the delayed reports and the reports from companies which have off-regular quarterly or fiscal earnings.  Next week we have AthenaHealth, Inc. (NASDAQ: ATHN), Sequenom Inc. (NASDAQ: SQNM), AMBAC Financial (NYSE: ABK), Nike Inc. (NYSE: NKE), FedEx Corporation (NYSE: FDX), Gamestop Corp. (NYSE: GME), 3Com (NASDAQ: COMS) and Palm, Inc. (NASDAQ: PALM) are all scheduled to report earnings.  We have handicapped the events with basic previews and Thomson Reuters, and we have added color for traders on what else to look for outside of the numbers.

AthenaHealth, Inc. (NASDAQ: ATHN) is on deck for earnings on Monday after the closing bell.  Be advised that we have not confirmed this release due to its recent earnings delay along with its annual report delay.  Thomson Reuters has estimates at $0.17 EPS on just over $55 million.  At $38 and change, shares have held up rather well considering its delayed 10-K and it telegraphing that earnings restatements were likely.  Its 52-week trading range is $23.15 to $47.82.  Due to the recent changes, this one is going to be a wait and see for many traders and investors.  For whatever it is worth, the open interest here is leaning toward the PUTS over CALLS by more than 2 to 1.

Sequenom In.c (NASDAQ: SQNM) is also on deck for earnings after the close on Monday.  While this one is down over the last five sessions, Sequenom has exhibited a stellar return from its lows with gains of 200% or more.  We are not looking at estimates here because the withdrawn Down’s Syndrom test has marked that largely irrelevant.  The company’s last cash balance with securities included was over $65 million.  The company may have some of its woes behind it, but calling the ball here may be alchemy rather than science.

More junk!  AMBAC Financial (NYSE: ABK) is on deck Tuesday.  The earnings estimate is -$3.34 from Thomson Reuters.  The stock tried to make a run with the other financial junk-trunk stocks but has given back gains.  Based on other municipal insurance reports, interest here may be elevated.  It is still hard to imagine how this one will avoid meeting the hangman.

Nike Inc. (NYSE: NKE) is up for earnings on Wednesday and Thomson Reuters has estimates of $0.88 EPS and $4.59 billion.  This would compare to $0.99 EPS a year ago but on a 3% sales gain.  Go ahead and expect the first question to be about Tiger Woods…. that was the case at Nike’s last quarterly conference call Q&A from analysts.

FedEx Corporation (NYSE: FDX) is on deck next week.  After positive sector reports and in the recovery this stock has risen almost 150% from its lows of the recession.  Thomson Reuters has estimates of $0.72 EPS and $8.33 billion.   We are expecting to see raised guidance for its fiscal May-2010.  Those estimates are $3.63 EPS and $33.65 billion in revenues.  If no guidance is raised, you will be hearing about stretched valuations.

GameStop Corp. (NYSE: GME) is also on deck next Thursday morning.  The estimates from Thomson Reuters are $1.28 EPS and $3.45 billion, both of which would be under a year ago.  Aren’t things in the economy and discretionary spending rising?  Yes, just not for video games.  The expectation bias here is low.  The bar is set low.  Any positive news out of the company would be well received.  There is a risk here even if it is not an immediate threat.  The video delivery method is starting to move toward digital delivery rather than on disks.  That is a longer-term issue but one to consider for the years ahead on future systems.  There are many risks on that model, but it is one to consider.  Still, the bar is low here.  At $19.35, its 52-week range is $17.12 to $32.82 .

3Com (NASDAQ: COMS) is expected to report $0.08 on Thursday…. this is symbolic more than cause and effect.  3Com is in the pending Hewlett-Packard buyout, so this may be a formality rather than an announcement with meat.  The only thing we’ll be on the lookout for is if something gets hung up further in the merger.

Palm, Inc. (NASDAQ: PALM) is going to formally report next Thursday after the close.  Despite more phones being launched with more carriers, Palm’s Pixi, Pre, and Treo models just aren’t keeping up iPhones, Droids, and Blackberries.  The company already issued a warning, which many felt was too late and long after the company should have been able to know.  Management is probably not expecting too many friends on the conference call.  At $5.55, this hardly looks bright.  Thomson Reuters has estimates of -$0.42 on $316.19 million in revenues.  The 52-week low was recently put in at $5.46… versus a $5.55 price today.  Here was my options opinion at Optionszone.com.

As a reminder, many of these estimates are likely to see slight changes as the dates get closer.

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JON C. OGG