The RH trade I posted a few days back proved to be a great lesson in sticking to your plan. Unfortunately that plan and my risk mgmt measures mean I sold out prior to the after hours report. Profits are a function of time. This makes it difficult to take a trade just a few days prior to earnings because it gives you less time/lower odds of getting a sufficient cushion or to a scaleable-point which would allow you to participate in the eps move. You can see the R:R this setup provided above.
Attached is one of the many finviz screens I run daily. I have found it more effective to run more screens with fewer filters rather than a few more restrictive screens which have a tendency to eliminate some great R:R setups that don’t qualify for just one of the filtering criteria.
This screen is filtered by the following criteria & reduces the universe of stocks from just under 7,000 to 119.
Mkt cap > 50 million
Price > $4
Q-o-Q eps > 25%
Next years eps >25%
Price > 50 sma
50 sma > 200 sma
Sales growth > 0%
Average daily volume > 100k
Below are 10 names from the 119 that stand out although some of the patterns will require time to properly develop an actionable pivot. They are sorted by next years EPS growth (highest to lowest)