WHY IS DROPBOX FALLING AFTER INITIALLY SPIKING ON BETTER THAN EXPECTED EARNINGS? $DBX $MSFT $GOOG $BOX

WHY IS DROPBOX FALLING AFTER INITIALLY SPIKING ON BETTER THAN EXPECTED EARNINGS? $DBX $MSFT $GOOG $BOX

This post was just published on ZYX Buy Change Alert.

This post is in response to a large number of questions we are getting.

We have already taken large profits and exited the DBX position.

DBX reported earnings better than expected.  The stock initially spiked but then started falling.

Insiders’ secret is that stocks move based on the difference between reported earnings and the whisper numbers.  Whisper numbers are different from consensus  numbers.  Consensus numbers are the average of the numbers published by the analysts.  Less informed investors think those are the real numbers because that is what the media highlights.   Based on these numbers, less informed investors often get suckered in and when they lose money they have difficulty figuring out as to why the stock went down in spite of good earnings.

This is the case with DBX.  After spiking to $37.13 the stock has fallen to $31.34 as of this writing and has traded as low as $30.63.

The reason is that the whisper numbers were much higher than the consensus numbers. Whisper numbers are the numbers that analysts privately give to their best clients to gain their business.

All is not lost for DBX holders. The reason is that DBX is the favorite of the momo crowd at this time.  If the momo crowd starts running it up, a short squeeze may follow exaggerating the move.

Please note that on a fundamental basis, based on the Quantitative Screen of the ZYX Method, DBX is worth only about $15.  There is also significant competition from MSFT, GOOG and BOX among many others.

The reason we have taken profits and exited the position is because of the high risk in this stock, even though there is potential for the momo crowd to run DBX up.

A knowledgeable investor would have turned $100,000 into over $1,000,000 with the help from The Arora Report. NOW YOU TOO CAN ALSO SPECTACULARLY SUCCEED AT MEETING YOUR GOALS WITH THE HELP OF THE ARORA REPORT. You are receiving less than 2% of the content from our paid services. …TO RECEIVE REMAINING 98% INCLUDING MANY ATTRACTIVE INVESTMENT OPPORTUNITIES, TAKE A FREE TRIAL TO PAID SERVICES.

Please click here to take advantage of a FREE  30 day trial.

Check out our enviable performance in both bull and bear markets.

FREE: SUBSCRIBE TO ‘GENERATE WEALTH’ NEWSLETTER

Related Posts

TRADE TRUCE BUT A GOOD DEAL NOW LESS LIKELY — HERE IS THE PLAN FOR STOCK INVESTORS $AMAT $DUST $AMZN $FB $MU $NUGT $QCOM $SPY

U.S. President Donald Trump and Chinese President Xi Jinping have declared a trade truce. And stock market bulls are encouraged. ...

WEEKLY MARKET DIGEST: QUARTER END WINDOW DRESSING MUTED, HIGH REWARD IN TURKEY $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

DOW 32,000 BUT BE WARNED OF A BIG FLAW IN BULLS’ LOGIC ON TRUMP XI MEETING $DIA $SPY $AAPL $AMZN $QQQ $MSFT $FB

Stock market bulls are excited about the meeting between presidents Trump and Xi. Some are encouraged by the Dow Jones ...

IF YOU COULD BUY ONLY ONE ETF, THIS LOW VOLATILITY ETF IS IT $USMV $SPY $DJIA $QQQ $AAPL $AMZN $GS $HD $BA $V $NEM $KO $MCD $UNH

You are a prudent investor. You are concerned about central-bank shenanigans, the trade war and the momo (momentum) crowd running ...

WEEKLY MARKET DIGEST: DEPLOY CASH, FED AND ECB TURN DOVISH, GOLD OVER $1400, OIL ON IRAN $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

THE CHART SHOWS DOW JONES TO 32,000 — BE BULLISH BUT CAUTIOUS IN THIS DRUNKEN PARTY $AAPL $AMZN $DIA $SPY $QQQ $FB $MSFT $GOOG $GOOGL

  The Dow Jones Industrial Average may be heading toward 32,000, according to one measure that often works out. Let’s explore with ...

TRUMP BLASTS DRAGHI AHEAD OF POWELL — POTENTIAL FOR A BIGGER BUBBLE $SPY $QQQ $IWM $AAPL $FB $AMZN $GOOG $BYND $ZM $BYND $FVRR $CRWD

European Central Bank President Mario Draghi turned ultra-dovish in a speech in Portugal on Tuesday. Draghi is almost pre-committing to more ...

WEEKLY MARKET DIGEST: GOLD BUYING AFTER ATTACK ON TANKERS, FED WALK BACK RISK IN THE STOCK MARKET $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

STOCK MARKET BULLS PAY ATTENTION TO THE YELLOW SIGNAL FROM SMALL-CAPS $QQQ $SPY $SPX $INTC $AMD $AAPL $GOOG

At a time when the U.S. stock market is staying bullish, small-cap stocks are sending a yellow signal and indicating ...

MONEY FLOWS IN 11 POPULAR TECH STOCKS SHOW THAT THE LATEST RALLY IS SUSPICIOUS $FB $AAPL $AMZN $NFLX $GOOG $AMD $BABA $INTC $MSFT $NVDA $TSLA

Popular technology stocks have recently staged a rebound. But segmented money flows show the rally is suspect. Let’s examine the issue ...

WEEKLY MARKET DIGEST: HOPES OF RATE CUTS AND TRUMP’S UNCANNY TIMING DRIVE STOCKS HIGHER BUT BE CAREFUL $DIA $GLD $QQQ $SLV $SPY $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

WEEKLY MARKET DIGEST: PROSPECTS OF RATE CUTS SUPPORTS STOCKS, BE CAUTIOUS, FDA CBD DAY $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

MEXICO TARIFFS DO NOT CHANGE THE ACTION ITEM FOR PRUDENT INVESTORS $GM $F $SPY $QQQ $FCAU $GOOG $AMZN $AAPL $MU $QCOM $INTC $AMD $PSQ

The surprise announcement by President Trump of imposing new tariffs on goods imported from Mexico does not change a previously ...

TECHNOLOGY BAN SPREADS AND THE NEXT SHOE TO DROP IS AHEAD — PROTECT YOUR PORTFOLIOS $SPY $QRVO $AAPL $AMZN $QCOM $INTC $QQQ $AMD $PSQ

President Trump’s ban on supplying technology to Huawei, the Chinese telecom giant, is spreading beyond U.S. shores. Companies in Europe and ...

TRUMP’S HUAWEI BAN IS HURTING TECH STOCKS — HERE’S WHAT MONEY FLOWS ARE SHOWING $FB $AAPL $AMZN $NFLX $GOOG $AMD $BABA $INTC $MSFT $NVDA

President Trump’s ban on China telecom giant Huawei is hurting technology stocks because Huawei is a big customer of prominent ...

WEEKLY MARKET DIGEST: BULLS PUT A TWIST ON BAD CHINESE DATA, ATTACKS IN SAUDI ARABIA BUT TRUMP DOES NOT A WAR $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

THIS CHART PROVES THE EXISTENCE OF A TRUMP ‘PUT’ IN THE STOCK MARKET $SPY $AAPL $AMD $AMZN $QCOM $MU $FB $INTC $QRVO $GOOG

Think what you may of President Trump, but there is an undeniable fact. If you watch the stock market as closely ...

INVESTORS IGNORING TRUMP’S NEW ‘PRESIDENT BIDEN’ CHINA CALCULATION AT THEIR OWN PERIL $AAPL $AMD $BABA $DIA $INTC $MU $SPY $SPX $QQQ $IWM

President Trump has a new calculation relating to his reelection and China tariffs. The calculation centers around a potential “President ...

WEEKLY MARKET DIGEST: GO FIGURE — U. S. STOCKS MOVE UP OVER 400 POINTS FROM THE LOW AND CHINESE STOCKS JUMP 3.1% ON TARIFFS $DIA $GLD $QQQ $SLV $SPY $TBT

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

STOCK MARKET SETS UP TWO TRAPS AND INVESTORS ARE FALLING INTO THEM $AAPL $AMZN $BA $FB $MU $NKE $QRVO $SBUX $GOOG

Nobody likes to fall into a trap. Yet investors may soon be falling into two traps that the stock market ...

Follow

Get every new post delivered to your Inbox

Join other followers