Did Social Media Chatter Predict the Moves in Riverbed and Tempur-Pedic?

Loading...
Loading...
Social Market Analytics looks at two stocks this week: Riverbed Techn
RVBD
, a maker of wide area computer-networking products, and Tempur-Pedic
TPX
, a manufacturer of mattresses and bedding products. During the week of April 16, both RVDB and TPX sold-off greater than 20%, becoming the
biggest price decliners
on their respective exchanges on April 20. Our
Flash Report
provides a daily estimate of market sentiment from social media sources and identified TPX and RVBD as the stocks with the
most bearish market sentiment
in the pre-market of April 20.
SMA's S-Score for RVBD
Loading...
Loading...
provided leading indication of stock price movement in reaction to the company's report on April 19 that Q1 sales missed Wall Street's target. In the pre-market of April 20, RVBD' S-Score moved sharply lower to -4.19 (Extreme Negative) from the Neutral or Moderately Positive, levels observed during the prior 9 days. RVBD's S-Volume metrics moved sharply higher showing detection of increased social media activity for the stock. RVBD closed the day at $19.85, down 28.75%, reaching a seven month low. The behavior of SMA's S-Score metric measures market trading sentiment and can provide actionable signals for upcoming price movement. On April 19, TPX reported a particularly weak outlook for 2012 raising concerns of slowing growth. On April 18,
SMA's S-Score for TPX
began a downward trend from moderately positive levels to -0.65 (Negative) on April 19, and then to -3.69 (Extreme Negative) in the pre-market of April 20. The movement was coincident with a massive spike up in TPX's S-Volume metric indicating unusually high social media commentary. Shares of TPX plummeted $17.22 to $66.53, a loss of 20.56%, to a level not seen since January 25. Social Media data are noisy and complex. A single metric is insufficient to understand sentiment behavior over time. Our S-Factors are a family of metrics, including volatility, trend and volume measures, designed to provide a complete view of the social media signature for each security tracked in SMA's database. SMA's processing engine continuously updates our S-Factor metrics, capturing overnight and pre-market sentiment activities. Clients receive market sentiment reports prior to the US market open and on-demand throughout the day. We invite the reader to
visit our website
; investigate our market sentiment metrics for RVBD and TPX, other stocks, industry sectors, and market indices; participate in our FAQ forum; and sign up for our Flash Report and Newsletter.
Loading...
Loading...
Market News and Data brought to you by Benzinga APIs
Date
ticker
name
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise
Posted In: EarningsLong IdeasNewsShort IdeasMoversTechTrading IdeasSocial Market Analytics
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...