Looking at Two Plays on One Name

Well, the biggest name got its earnings report out of the way with mainly option premium sellers being the only likely winners. I suppose those who bought in-the-money or at-the-money calls on Apple (AAPL) and shorted in the $420s after-hours could have done extremely well, but I will guess the actual folks who went this route are few and far between. But there are some kinks in the armor of the recent highfliers this earnings season. Ironically most of the high flyers have been lower beta names.

I've been looking for a 3M (MMM) for a short side setup. I don't see a huge move into earnings, but the stock is up almost 9% for this quarter and 16% for this year. The upside looks to be in the $110-$111 area, while the downside is around $104-$105. MMM has been in line for the past two quarters on earnings per share (EPS) while beating by a penny in the quarter prior to those. Revenue has been a bit all over the place with some beats and some misses. None of this spells consistency or a belief for me in a blowout quarter....294 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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