The dog days of summer are upon us, and things are starting to heat up on Wall Street. Earnings season has kicked off and is now in full swing. If you own shares of Outerwall (NASDAQ: OUTR), SolarCity (NASDAQ: SCTY), or Natural Grocers by Vitamin Cottage (NYSE: NGVC), not only are your companies soon to report earnings, but you could be looking at a volatile week ahead.
That's because all three of these stocks are heavily shorted. And when heavily shorted companies report earnings, volatility is almost always the result. For proof, look at the three companies I highlighted in mid-July, which moved an average of 6% following their respective quarterly reports.
But instead of trying to profit from this information, I think long-term investors should prepare themselves mentally for the coming volatility. By zeroing in on what really counts over the years-long time horizon, you can ignore the noise of day-to-day moves. Check out the slideshow below to see what's really worth watching.
This $19 trillion industry could destroy the Internet
One bleeding-edge technology is about to put the World Wide Web to bed. And if you act quickly, you could be among the savvy investors who enjoy the profits from this stunning change. Experts are calling it the single largest business opportunity in the history of capitalism... The Economist is calling it "transformative"... But you'll probably just call it "how I made my millions." Don't be too late to the party -- click here for one stock to own when the Web goes dark.