Cutera Flashing Potential Trade for Longs After Evening Earnings

| About: Cutera, Inc. (CUTR)

Cutera (NASDAQ:CUTR) is due with its Q2 results after the bell tonight. Analysts polled by Thomson Reuters are looking for a loss of $0.18 per share on revenue of $13 million.

CUTR is mixed in its post-earnings after hours moves during the next day's regular trading session. It widened in nine of the last 21 quarters. In the near-term, the stock has twice narrowed its after hours move in the next day's regular session and three times followed flat evening trade with a next-day gain or decline.

Looking deeper into the data, CUTR has declined nine times in response to extended-hours earnings. Of those events, shares extended that move only twice. The stock recorded three other events in which it ended the after hours flat, followed by a next-day decline. The strong tendency for CUTR to reverse evening declines should have longs watching for floors that may develop off any potential declines recorded tonight.

Longs see a better pattern to support potential post-earnings upside moves. The stock has gained in seven quarters following evening earnings reports. Of those seven advances, the stock has extended that move the following day five times, or 71% of the time.

On May 2, 2011, CUTR reported weaker year-over-year Q1 results in after hours trading and ended the session flat. The stock dipped into the red the next day, closing the May 3 regular session down 1.9%.

On Feb. 2, 2011, CUTR ended the after hours flat after beating Q4 loss estimates and meeting revenue expectations. The stock found upside support the next day, rising 2% by the close on Feb. 3.

On Nov. 1, 2010, the stock fell 4.5% in evening trading after the company reported a narrower loss and a drop in revenue. Shares fell a smaller 3.5% the next day.

On Aug. 2, 2010, CUTR ended after hours trading flat after missing Street expectations. The stock managed a thin gain the next day, closing the Aug. 3 regular session up 0.2%.

On May 3, the stock finished extended-hours trading flat after reporting a wider loss for Q1. The stock fell 3.7% the next day.

On Feb. 8, 2010, the stock slipped 0.5% amid mixed results, including revenue that just beat the Street view. Shares bounced 0.1% the next day.

On Nov. 2, 2009, the stock fell 0.9% after posting a loss but just beating with revenue. Shares reversed to gain 0.2% the next day.

On Aug. 3, 2009, the stock was flat after a swing to a Q2 loss on lower revenue. Shares fell 3.4% the next day.

On May 4, 2009, CUTR edged up 0.3% in evening trading despite posting Q1 results below expectations. The stock added sharply to its upside the next day, advancing 9.3% by the closing bell on May 5.

On Feb. 9, 2009, CUTR advanced 3% in after hours trading after reporting better-than-expected results. It shed some of that gain the next day, closing the Feb. 10 regular session up 2.1%.

On Nov. 3, 2008, the stock tumbled 11.9% during evening trading after CUTR reported a swing to a loss and a decline in revenue. The share drop was sharply cut by the closing bell the following day, leaving the stock down 1.5%.

On Aug. 4, 2008, CUTR advanced 4.4% in after hours trading after topping Q2 results. It soared higher the next day, rising 14.5% by the close on Aug. 5.

On May 6, 2008, CUTR declined 4% in after hours trading after missing Q1 expectations. The stock cut back its declines slightly in the following day's regular session, ending down 3.9%.

On Feb. 11, 2008, the stock gained 0.8% in evening trading despite a Q4 miss. The stock extended that gain to 2.7% the next day.

On Nov. 5, 2007, CUTR slid 10.1% in after hours trading after topping Q3 expectations but also declining to offer guidance. It dug deeper into the downside the next day, ending the Nov. 6 regular session off 12.8%.

On Aug. 6, 2007, CUTR edged up 2.6% in night trading after topping Q2 sales estimates and guiding in line to above Street estimates. However, shares lost their momentum and slid 4% by the end of the next day's regular session.

On May 7, 2007, CUTR plunged 24% in evening hours after disappointing Q1 results and guidance. Shares rebounded slightly the next day to close the regular session down 19.9%.

On Jan. 31, 2007, CUTR rose 7.5% in after hours when the company beat Q4 earnings estimates and set guidance above Street views. Shares more than doubled its gains, ending the next day's regular session up 16.6%.

On Nov. 6, 2006, CUTR slipped 2.7% in night trading after just missing Q3 sales estimates. However, it beat earnings expectations and guided above Street views. Shares recovered the next day and ended the regular session up a strong 11.8%.

On Aug. 7, 2006, CUTR edged up 4.6% in evening trading after topping Q2 estimates. Shares strengthened further, closing the next day session up 11.8%.

On May 8, 2006, CUTR slid 3.6% in after hours when the company beat Q1 sales estimates and forecast Q3 and FY06 sales to top expectations. However, it predicted Q1 and FY06 EPS to miss Street views. Shares fell further the next day, ending the regular session down a much steeper 14.7%.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.