Cyberonics, Inc. (CYBX), Ambarella Inc (AMBA): Are These Wednesday Post-Earnings Movers a Buy?

The company did see same store sales increase 0.5%, yet overall sales declined 1.3%. In addition, the company actually lowered guidance for its fiscal year. Therefore, it is quite hard to determine why the stock traded higher. Personally, I don’t see anything exciting at Bob Evans Farms Inc (NASDAQ:BOBE) and wouldn’t select it as a preferred investment choice in the restaurant space.

Final thoughts

Of these three stocks that rose on Wednesday, I think Ambarella Inc (NASDAQ:AMBA) is the clear winner. It has the whole package including strong growth, attractive metrics, and room to grow; making it an easy selection.

I will say that I am quite shocked that both Cyberonics, Inc. (NASDAQ:CYBX) and Bob Evans Farms Inc (NASDAQ:BOBE) traded higher after such mediocre quarterly performances; especially Bob Evans Farms Inc (NASDAQ:BOBE). Sometimes, when the market trades higher, a stock will follow despite a weak quarter – but it is exceptionally rare for a stock to move higher when the market trades with such large loss. While I do not understand why this happened with Bob Evans Farms Inc (NASDAQ:BOBE) and Cyberonics, Inc. (NASDAQ:CYBX), I would not mistake the performance for strength, and would be exceedingly careful about initiating a position at current levels.

Brian Nichols has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Brian is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

The article Are These Wednesday Post-Earnings Movers a Buy? originally appeared on Fool.com is written by Brian Nichols.

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