Fasten your seat belts, Fools. The three stocks I'm about to introduce to you could make huge moves in the week to come.
That's because each of these stocks has a heavy short interest -- or lots of investors betting against their short-term success -- and each is reporting earnings in the coming week. When these two variables collide, volatility is almost always the outcome. In fact, the three companies I singled out last week moved an average of 7% following their respective earnings reports.
But don't take this as a sign that I encourage trying to time the market. Instead, I think that if you're an investor in Solar City (NASDAQ:SCTY.DL), Iconix (NASDAQ:ICON), or Tile Shop (NASDAQ:TTS), you need to check your emotions at the door, and take a look at the slideshow below, which will point out the real long-term metrics that you should be looking at when each company reports this week.
Brian Stoffel owns shares of SolarCity. The Motley Fool recommends Iconix Brand Group, SolarCity, and Tile Shop Holdings. The Motley Fool owns shares of SolarCity and Tile Shop Holdings. 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.