This Week's 3 Big Stock Movers Will Be…

These three companies have the perfect storm forming for volatility.

Jun 8, 2014 at 2:00PM

Every week of the year, there are a handful of stocks that make outsized moves, eliminating or building up a mountain of wealth in the blink of an eye. Usually, it's impossible to know which stocks these will be. However, there are three stocks we can be relatively certain will make big moves this week: Capstone Turbine Corporation (NASDAQ:CPST), Finisar Corporation, (NASDAQ:FNSR), and Lululemon Athletica (NASDAQ:LULU).  

The reasons these three are such prime candidates for volatility is that share two key traits. First, each is reporting earnings this week. And second, each is heavily shorted -- that is, each has lots of investors betting against any short-term success.

When these two variables collide, big moves are usually the result. In fact, last time I predicted three such moves, the chosen stocks moved an average of 8% after earnings were reported.

While it may be tempting to make trades to capitalize on this volatility, I wouldn't suggest it. There's no telling whether or not these moves will be up or down. If you already hold shares of any of these three companies, you need to ignore the noise and focus on what's really important. Check out the slideshow below to see what you should really be keeping your eye on and what's just noise to ignore.

Will this stock be your next multibagger?
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Brian Stoffel owns shares of Lululemon Athletica. The Motley Fool recommends Lululemon Athletica. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

4 in 5 Americans Are Ignoring Buffett's Warning

Don't be one of them.

Jun 12, 2015 at 5:01PM

Admitting fear is difficult.

So you can imagine how shocked I was to find out Warren Buffett recently told a select number of investors about the cutting-edge technology that's keeping him awake at night.

This past May, The Motley Fool sent 8 of its best stock analysts to Omaha, Nebraska to attend the Berkshire Hathaway annual shareholder meeting. CEO Warren Buffett and Vice Chairman Charlie Munger fielded questions for nearly 6 hours.
The catch was: Attendees weren't allowed to record any of it. No audio. No video. 

Our team of analysts wrote down every single word Buffett and Munger uttered. Over 16,000 words. But only two words stood out to me as I read the detailed transcript of the event: "Real threat."

That's how Buffett responded when asked about this emerging market that is already expected to be worth more than $2 trillion in the U.S. alone. Google has already put some of its best engineers behind the technology powering this trend. 

The amazing thing is, while Buffett may be nervous, the rest of us can invest in this new industry BEFORE the old money realizes what hit them.

KPMG advises we're "on the cusp of revolutionary change" coming much "sooner than you think."

Even one legendary MIT professor had to recant his position that the technology was "beyond the capability of computer science." (He recently confessed to The Wall Street Journal that he's now a believer and amazed "how quickly this technology caught on.")

Yet according to one J.D. Power and Associates survey, only 1 in 5 Americans are even interested in this technology, much less ready to invest in it. Needless to say, you haven't missed your window of opportunity. 

Think about how many amazing technologies you've watched soar to new heights while you kick yourself thinking, "I knew about that technology before everyone was talking about it, but I just sat on my hands." 

Don't let that happen again. This time, it should be your family telling you, "I can't believe you knew about and invested in that technology so early on."

That's why I hope you take just a few minutes to access the exclusive research our team of analysts has put together on this industry and the one stock positioned to capitalize on this major shift.

Click here to learn about this incredible technology before Buffett stops being scared and starts buying!

David Hanson owns shares of Berkshire Hathaway and American Express. The Motley Fool recommends and owns shares of Berkshire Hathaway, Google, and Coca-Cola.We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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