PLX Technology: Flat Evening Trade Not Uncommon After Earnings

| About: PLX Technology, (PLXT)

PLX Technology (NASDAQ:PLXT) is due to report Q4 results after the bell today. Wall Street is looking for revenue of $25.8 million and a loss of $0.03 per share, according to the mean analyst estimate in a Thomson Reuters survey.

PLXT has generally shown a widening pattern between the sessions following an earnings report. The issue several times turns flat evening trading into a sizable next-day gain in either direction. The shares have extended their night moves in the next day's regular trading session in 20 of the 25 events we have tracked.

Looking deeper into the data, the stock has advanced in the wake of a quarterly earnings report seven times. It has expanded that move six times, or 86% of the time.

On the downside, 10 post-earnings declines have been recorded. Of that number, nine wider same-direction moves follow the next day, 90% of the time.

In eight events the stock was flat in after-hours trade followed by a next-day decline or gain.

The stock is about evenly mixed in turning flat evening trading into a next-day gain or loss.

Looking at the data:

  • On Oct. 24, 2011, the stock ended the evening session flat after mixed earnings and a warning on revenue. Shares fell 1.9% the next day.
  • On July 25, 2011, the stock ended the evening session flat after a report showing a Q2 beat and in-line guidance for Q3. Shares jumped 9.6% the next day.
  • On April 25, 2011, PLXT declined 0.9% in evening trading after posting mixed Q1 results. The stock moved lower the following day, closing the April 26 regular session off 3.1%.
  • On January 24, 2011, the stock ended the evening session flat after reporting a smaller-than-expected loss but missing with revenue. Shares fell 1.1% the next day.
  • On Oct. 25, 2010, the stock slipped 0.8% after a Q3 miss and disappointing revenue guidance. Shares plunged 15.7% during regular trading the following day.
  • On July 26, 2010, PLXT declined 3.7% in evening trading after meeting Q2 expectations and setting its Q3 revenue guidance in line with the Street view. The stock tumbled lower the following day, closing the July 27 regular session down 12.7%.
  • On April 26, 2010, the stock fell 7.8% after a narrow beat with revenue and guidance that straddled the Street view. Shares fell a sharper 10.8% during the following day's regular session.
  • On Jan. 25, 2010, the stock gained 5.2% after a Q4 beat and guiding for Q1 above the Street view. Shares jumped 27.3% the next day.
  • On Oct. 27, 2009, the stock was flat in evening trading after PLXT swings to a loss though beats with revenue. Shares rose 6.6% the next day.
  • On Aug. 4, 2009, PLXT recorded no trades in the off-hours. It posted Q2 results that declined from year ago levels. The following day, the stock closed the Aug. 5 regular session down 7.3%.
  • On May 5, 2009, PLXT shed 0.7% in evening trading after issuing better-than-expected revenue results and guidance that straddled the Street view. The stock turned higher the following day, ending the May 6 regular session up 3.3%.
  • On Jan. 26, 2009, the stock gained 6.2% after a swing to a loss on lower revenue. Shares reversed to close down 7.4% the next day.
  • On Oct. 27, 2008, the stock finished evening trading flat after lower revenue guidance. Shares tumbled 10.5% the next day.
  • On July 28, 2008, the stock fell 19.7% during evening trading as Q2 EPS missed and Q3 sales guidance was below the Street view. The loss fattened to 26% the following day.
  • On April 21, 2008, PLXT edged up 0.2% in after-hours action after issuing in line to higher guidance. The stock added to its upside on April 22, rising 4.9%.
  • On Jan. 28, 2008, the stock gained 4.6% during evening trading after PLXT reported above the year-ago performance with Q4 results. Shares reversed to close down 3.2% the next day.
  • On Oct. 22, 2007, PLXT slipped 0.09% in evening hours after the company meets with Q3 results. The stock saw a mild bounce to close up 0.09% the next day.
  • On July 23, 2007, PLXT ended the night session flat after posting a slight loss despite higher Q2 sales from a year ago. However, shares tumbled the next day to end the regular session down 13.6%.
  • On April 23, PLXT gained 4.6% in the evening hours after reporting in line with revenue and offering revenue guidance that straddles. The gain expanded slightly, to 4.9%, the next day.
  • On Jan. 25, 2007, the stock tumbled 11.4% as guidance came in below the Street's view. The loss was a deeper 13.1% the next day.
  • On Oct. 18, 2006, PLXT inched up 0.6% in evening activity after beating Q3 estimates and forecasting Q4 sales to be mostly above Street views. Shares soared the following day, ending the day session up 19.5%.
  • On July 18, 2006, PLXT dropped 10.7% in night trading despite beating Q2 estimates and forecasting Q3 sales in line with expectations. The shares tumbled further the next day, closing the day session down a sharp 21.2%.
  • On April 18, 2006, PLXT gained 5.2% in after-hours trading after reporting improved Q1 results from a year ago and forecasting Q2 sales in line with estimates. The shares added to those gains the following day, closing the regular trading up 6.5%.
  • On January 31, 2006, PLXT jumped 6.5% in after-hours when the company said it earned a profit in Q4, up from a loss a year ago and above the FC mean. Sales also rose from the year earlier period. PLXT widened its gains the next day, ending the regular session up 18.6%.
  • On Oct. 18, 2005 PLXT gained 3.3% after posting flat earnings and not the loss expected. Shares gained 5.2% the next day.
  • On July 19, 2005, PLXT ended the after-hours session flat on limited volume after meeting loss estimates, missing on revenue and guiding Q3 below the Street. It plunged 10% in the July 20 regular session.
  • On April 19, 2005, PLXT dropped 2.7% in after-hours trading after EPS missed Street targets. The stock took a drubbing in the April 20 regular session, widening its loss to 5.8%.
  • On Oct. 19, 2004, PLXT lost 5.1% after beating expectations but guiding below the Street. It turned to the plus-side in the Oct. 20 regular session, however, closing up 3.8%.
  • On July 15, 2004, PLXT plunged 21.8% after missing on revenue but topping EPS expectations. Traders dumped shares in the July 16 regular session, and PLXT closed down 26.4%.

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