3 Stocks to Watch Going into the Second Week of May

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Scanning the stock prices.

Analyst coverage has a direct, positive impact on stocks. Earnings season isn’t behind us just yet, and several companies are still riding the wave on Monday morning with wild fluctuations across the board.

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Three stocks to watch this week, include:

1.     Douglas Dynamics, Inc. (NYSE:PLOW)

Douglas Dynamics will be releasing their earnings report after the closing bell on Monday, May 9. The company’s outlook is grim, with analysts expecting EPS to fall from $0.06 per share last year to just $0.03 a share during Q1.

A major drop in EPS would mean trouble for the company.

The company will be holding a conference call on early Tuesday morning to alleviate investor concerns.

2.     Universal Forest Products Inc. (NASDAQ:UFPI)

Universal Forest went on a major decline in Q4 2015, and the company has rebounded slightly in Q1 2016. Revenue increased by over 5% on the quarter, with net income rising slightly. The company’s sluggish performance of over a 20% decline since Q3 2015 has been met with an expansion of product offerings that should restore investor sentiment.

Outdoor Essentials, one of the company’s brands, announced last week that it has a new look and will be expanding its product line.

Products offered under Outdoor Essentials will be geared towards homeowners and hands-on users. The products come with either easy-to-assemble kits or are ready to use. Universal Forest Products is a holding company that maintains a presence in the industrial, retail and construction market.

The company increased positive earnings by 9.2% in Q1, but its top line of $682.2 million lagged behind estimates of $696 million. The announcement of a new product line may help the company’s retail sector improve even further after a year-over-year growth of 17%.

3.     CryoLife Inc. (NYSE:CRY)

CryoLife Inc. has been on a roll since April, reaching a 52-week high on April 14th to peak at $11.99 a share. The company’s stock is up over 30% in the last 90 days, making it an interesting stock to watch in May.

The company’s Q1 revenue beat expectations of $41.3 million with revenues of $43 million. Non-GAAP EPS reached $0.10, while GAAP EPS hit $0.08. Revenue year-over-year swelled 27% on the hopes that the company’s On-X acquisition will be fruitful.

The company further combined its three-segment sales team into one to boost sales and revenue.

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