{"id":119,"date":"2005-09-28T22:58:48","date_gmt":"2005-09-29T03:58:48","guid":{"rendered":"http:\/\/www.selfinvestors.com\/tradingstocks\/?p=119"},"modified":"2018-08-12T01:11:42","modified_gmt":"2018-08-12T06:11:42","slug":"earnings-red-hat-is-red-hot","status":"publish","type":"post","link":"https:\/\/selfinvestors.com\/tradingstocks\/company-earnings\/earnings-red-hat-is-red-hot\/","title":{"rendered":"Earnings: Red Hat is Red Hot"},"content":{"rendered":"<p>With earnings season bearing down on us, it&#8217;s time again for me to get ready for the avalanche of earnings that will ensue.. and I begin with a couple earnings reports posted after the market close earlier today in two outstanding companies.&nbsp; <strong>Redhat (RHAT)<\/strong> and <strong>Resources Connections (RECN).<\/strong><\/p>\n<p> <strong>Red Hat (RHAT)<\/strong> is a company that saw its stock soar in 2003 as open source software caught fire in the corporate world, but the party didn&#8217;t last.&nbsp; The stock fell off a cliff in &#8217;04, dropping more than 50%.&nbsp; It&#8217;s been a different story in &#8217;05, climbing more than 50% since June.&nbsp; The climb  should continue with force tomorrow as the company reported earnings and sales that beat analyst estimates.&nbsp; The CEO said the company is improving margins by continuing to provide software through subscription\/download services and expanding market share through overseas markets.&nbsp; Earnings came in at .09\/share, beating estimates by&nbsp; .02\/share, while sales came in at 65.7 milion.&nbsp; Both earnings and sales increased by 42% from the year ago quarter.&nbsp; The stock is up nearly 12% in after market trading.<\/p>\n<p> <strong>Resources Connection (RECN),<\/strong> a provider of services to companies that enable them to better comply with Sarbanes-Oxley continues to post outstanding, consistent results by posting earnings and sales growth of 30% over the year ago period after the bell today, which beat anaylst  estimates.&nbsp; However it doesn&#8217;t appear the stock will spike like it did after the last earnings report in July in which the company surprised by a wide margin.&nbsp; The chart does look outstanding.&nbsp; After running up from a large V like base to new highs in July, the stock has spent a few months consolidating in a nice, quiet base, which it broke out from on Monday.&nbsp; The stock is trading close to flat after hours, but is worth keeping an eye on throughout the trading day tomorrow.<\/p>\n<p>** <strong>Research in Motion (RIMM)<\/strong> also posted after the bell and investors were not impressed &#8211; weakening subscriber growth and rising costs were believed to the culprits in the latest report.&nbsp; The stock is down nearly 4% in after hours trading.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>With earnings season bearing down on us, it&#8217;s time again for me to get ready for the avalanche of earnings that will ensue.. and I begin with a couple earnings reports posted after the market close earlier today in two outstanding companies.&nbsp; Redhat (RHAT) and Resources Connections (RECN). Red Hat (RHAT) is a company that &hellip; <a href=\"https:\/\/selfinvestors.com\/tradingstocks\/company-earnings\/earnings-red-hat-is-red-hot\/\" class=\"more-link\">Continue reading <span class=\"screen-reader-text\">Earnings: Red Hat is Red Hot<\/span> <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[],"class_list":["post-119","post","type-post","status-publish","format-standard","hentry","category-company-earnings"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/posts\/119","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/comments?post=119"}],"version-history":[{"count":0,"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/posts\/119\/revisions"}],"wp:attachment":[{"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/media?parent=119"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/categories?post=119"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/selfinvestors.com\/tradingstocks\/wp-json\/wp\/v2\/tags?post=119"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}