Below is a brief recap on each of the top-volume, news-driven movers in Thursday's after hours, taking a look at specific stocks' after hours movement and how that trade may offer insight into potential floor supports, ceilings and trading ranges that could develop in Friday's pre-market and early regular session.
Zumiez (NASDAQ:ZUMZ) advanced 12.9% to 26.40 in Thursday's after hours trading after beating Q3 expectations and setting its Q4 guidance in line to above the Street view. ZUMZ popped to upside levels between 25 and 26.49 through the early after hours. It firmed to a higher range into the late first-half and second-half of the evening, trading between 25.53 and a high of 26.40. Evening indications would suggest ZUMZ reports a potential pre-market open Friday near 25.75 to 26.30. ZUMZ is favoring a reversal trend in its long-term next-day share reaction to an evening earnings release; share movement has turned more aggressive 10 times and has been reined in 11 times in the quarters we've tracked. Looking deeper into the performance data, ZUMZ has recorded an earnings-driven after hours gain in nine quarters, reversing that move the following day in five of those quarters, or 55% of the time. Despite the broader reversal trends in place in ZUMZ we would look to play the long side from the start on Friday. Buyers looked confident Thursday night between 25.50 and 26, a potential near-term floor support that could see lift back into the lower-26s.
PVH Corp. (NYSE:PVH) firmed 2.5% to 69.34 in Thursday's evening action after posting better-than-expected results and guidance. PVH vaulted from 68.11 to a first-half after hours high of 70.08 in the immediate wake of the company's quarterly results. Sellers were aggressive off the high, dropping PVH from 69.95 to a mid-session low of 68. The stock steadied between 68.20 and 69.34 into the second-half of night trade. A pre-market open Friday looks to have potential in the 68.50 to 69.20 area. Long-term, PVH has widened its share moves between the sessions in 10 of 21 quarters. Looking deeper into PVH's performance data, the stock favors the long side regardless of its after-hours direction. PVH has seen an earnings-driven after hours gain in 11 of the 21 quarters tracked in our database. In six of those quarters, or 55% of the time, the stock has added to its upside in the following day's regular session. We would look to follow the upside earnings pattern and play PVH shares long early on Friday. Morning buyers may want to test the waters between 68 and 69, a potential base support that could see bumps back toward 70.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.