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KLA-Tencor (KLAC):
The whisper number is $1.12, six cents ahead of the analysts estimates. KLAC has exceeded the whisper number in 14 of the 22 earnings reports we have data. Last quarter the company topped the whisper by twelve cents. The stock moved 1% higher in one trading day, and 6.9% higher in five trading days. The post earnings price reaction has been inconsistent, but the overall short term average is positive through thirty trading days when topping the whisper number, and negative through thirty days when falling short of the whisper. KLAC reports earnings January 27th, after market close.

Verisign (VRSN):
The whisper number is $0.26, in-line with the analysts estimates. Verisign has exceeded the whisper number in 18 of the 35 earnings reports we have data. The stock has been on a slow and steady climb since this time last year, and it didn't matter if they topped or fell short of the whisper number when they reported earnings. Longer term analysis shows that in thirty days following their reports, the stock has seen (on average) a -1.0% price move when topping the whisper, and a +5.8% price move when missing the whisper. Verisign reports earnings January 27, after market close.

JB Hunt Transport (JBHT):
The whisper number is $0.47, two cents ahead of the analysts estimates. JB Hunt has exceeded the whisper number in 7 of the 9 earnings reports we have data, but they lack a consistent reaction. Over the past three quarters, beat or miss expectations, within five trading days following their earnings reports the average price move is +0.8. And longer term tells a similar story. The average price move within thirty trading days when topping the whisper number is -5.9%, miss the whisper and the average is +3.3%. JB Hunt reports earnings January 28th, after market close.

Paccar (PCAR):
The whisper number is $0.47, one cent ahead of the analysts estimates. Paccar is not a household name, and receives inconsistent attention from our members. The company has exceeded the whisper number in 13 of the 13 earnings reports we have data. The attention the company is seeing this quarter should not be cause for concern as this type of trend usually indicates that exposure or popularity of the stock is increasing (or an indication that recent events have made this stock stand out and be noticed by the investment community.) It is usually a significant indication that stock activity is probable. Paccar reports earnings January 28th, before market open.

Arch Coal (ACI):
The whisper number is $0.44, two cents short of the analysts estimates. Arch has fallen short of the whisper number in 9 of the 15 earnings reports we have data, but they lack a consistent price reaction. Over the past four quarters the company has fallen short of the whisper number. But within five trading days following their earnings reports the average price move is +3.6 (positive price movement in two reports, negative price movement in the other two). And longer term tells a similar story. The average price move within thirty trading days when topping the whisper number is -14.4%, miss the whisper and the average is +8.6%. Arch reports earnings January 28th, before market open.

When analyzing the data we collect, the most important aspects are how a company reacts to beating or missing the whisper number, the average post earnings price movement, and in what timeframe. Keep in mind that trading on whispers is a technical play on market psychology, rather than a bet on a company's fundamental strengths.

Source: Pre-Earnings Briefs: KLA-Tencor, Verisign, JB Hunt Transport, Paccar and Arch Coal