Earnings Around the Corner for Reynolds American Inc. (NYSE:RAI)

Earnings is just around the corner for Reynolds American Inc. (NYSE:RAI) as the firm is slated to issue their report on 10/19/2016 8:30:00 AM.  The firm has most recently posted quarter over quarter growth of -67.10% and sales growth of 33.00% quarter over quarter.  

In terms of the trend lines, Reynolds American Inc. (NYSE:RAI) shares are currently -12.42% off of their 52-week high and 10.96% off from the 52-week low point.  The stock is -3.46% from the 200-day moving average and -2.60% from the 50-day average.  The Relative Strength Index for the stock stands at 45.23.

Increased volatility should be expected heading into and immediately after the Reynolds American Inc. (NYSE:RAI) earnings report.  According to the most recent data, the average true range stands at 0.81 which is a measure of the most recent volatility.  The number is an exponential 14-day moving average of the True Ranges (range of each trading day’s high and low).  The average volatility for the week stands at 1.71% and 1.48% for the past month. The relative volume (ratio between current volume and 3-month average) stands at 1.44.  

Potential Upside

So is there any potential upside for the stock if Reynolds American Inc. is able to meet or beat earnings?  Analysts, on a consensus basis have a $55.27 on the stock, compared to a recent bid of $47.28.  The average broker recommendation yields a score of 2.10, which is an integer based calculation from all of the buy, sell and hold recommendations from sell-side analysts.  


Heading into the earnings report, 0.10% shares are held by company insiders.  On the institutional front, 47.70% of Reynolds American Inc. (NYSE:RAI) are owned by firms or funds.  Over the past few months, insider transactions have trended -7.21% while institutions saw a change of -0.10% in company stock. 


Year to date, Reynolds American Inc. (NYSE:RAI) holders have seen returns of 5.45%.  Over the past month the stock moved 0.49% and most recently shares over the past five trading days have moved 1.78%.

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