Cree Inc. (CREE) is getting pummeled today after missing its earnings. The stock is down almost 18% today, and has created a huge GAP on the daily chart. Though investors certainly have a good reason to SELL the stock, I believe that the huge sell-off is merely a knee-jerk reaction, and that the stock will bounce back. In fact, the stock is at a very important support level.
Just in case you don’t know what it is that Cree does, here is a brief company profile of CREE:
Cree, Inc. develops, manufactures, and sells lighting-class light emitting diode (LED), lighting, and semiconductor products for power and radio-frequency (RF) applications in the United States, China, Europe, South Korea, Japan, Malaysia, and Taiwan. The companys LED Products segment provides blue and green LED chips that are used in various applications, including video screens, gaming displays, function indicator lights and automotive backlighting, headlamps, and directional indicators; LED components comprising packaged LED products for lighting applications, and surface mount and through-hole packaged LED products for video, signage, general illumination, transportation, gaming, and specialty lighting applications; and silicon carbide (SiC) materials, which are used in manufacturing products for RF, power switching, gemstone, and other applications. Its Lighting Products segment offers LED and traditional lighting systems for use in settings, such as office and retail space, restaurants and hospitality, schools and universities, manufacturing, healthcare, airports, municipal, residential, street lighting, and parking structures. The companys Power and RF Products segment provides SiC-based power products, such as Schottky diodes, SiC metal semiconductor field-effect transistors, and SiC power modules that are used in power supplies in computer servers, solar inverters, uninterruptible and industrial power supplies, and other applications; and RF devices, including a range of GaN high electron mobility transistors (HEMTs) and monolithic microwave integrated circuits (MMICs) for military, telecom, and other commercial applications, as well as provides foundry services for GaN HEMTs and MMICs that allow customers to design their own custom RF circuits. It also provides semiconductor materials and devices primarily based on SiC, gallium nitride (GaN), and related compounds. Cree, Inc. was founded in 1987 and is headquartered in Durham, North Carolina.
Here is a Daily chart of CREE:
Recommendation: BUY The Dips
Price Target: $73
Stop-Loss: $55 [Assuming you BUY Cree @ $60]
Wall Street Fool
Latest posts by Wall Street Fool (see all)
- $CREE - Buy The Dips On Cree. Stock Will Bounce Back. Huge UPSIDE. - October 23, 2013
- Possible Black-Swans In The Coming Weeks/Months - October 22nd, 2013 - October 22, 2013
- Both $SPY and $AAPL Have Officially Hit My Price Targets - October 22nd, 2013 - October 22, 2013