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3 Stocks That Could Make Huge Moves

Next Week's Big Movers

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Two variables will combine next week to send shares of these three companies on a roller-coaster ride.

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Page 1: Next Week's Big Movers

3 Stocks That Could Make Huge Moves

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Rambus (NASDAQ: RMBS)

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Why Are Investors So Negative?1. The company has seen shares surge almost

60% since mid-January and now trade for 42 times forward earnings.

2. While the company designs memory and systems-on-a-chip devices, it largely relies on royalty payments for licensing its technology.

3. This business model is very reliant on pursuing lawsuits to enforce patents, and the outcomes of these court cases are very difficult to predict.

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Here’s What to WatchWall Street Expectations• Currently, 7% of

Rambus’s shares are sold short.

• Analysts are expecting the company to report revenues of $76 million.

• Earnings per share are expected to come in at $0.05.

What to Really Watch• Since Rambus’ business is

closely tied to that of most chipmakers, it’ll be important to watch what direction the entire industry is headed. Many believe we could be starting the downward trend in the industry’s cycle.

• If the company is able to initiate positive, sustainable partnerships with others, it would help investors view the company as more than just a patent troll.

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Advanced Micro Devices (NYSE: AMD)

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Why Are Investors So Negative?1. AMD is currently in a transition stage. Where

once it focused on consumer PC for most business, it is now attempting to gain market share in the growing graphics, dense server, and ultra-low power fields.

2. After years of profitability, the company endured a year of losses in 2013. Over the last twelve months, the company has not produced positive cash flow from operations.

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Here’s What to WatchWall Street Expectations• Currently, 14% of AMD

shares are sold short.

• Analysts are predicting revenue of $1.4 billion when the company reports.

• Earnings per share are expected to register at $0.02.

What to Really Watch• The most important

thing to watch is the performance of the company’s GPUs (graphics processing units). This is the most important growth driver for the company moving forward.

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Athenahealth (Nasdaq: ATHN)

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Why Are Investors So Negative?1. The stock currently trades for 136 times

trailing earnings—a very expensive valuation.

2. Famed activist investor David Einhorn has publicly stated that he thinks the company’s stock is wildly overvalued.

3. Fellow famed hedge fund manager Whitney Tilson has also announced that he’s shorting athenahealth’s stock.

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Here’s What to WatchWall Street Expectations• Currently, 25% of

athenahealth’s shares are sold short.

• Revenue is expected to come in at $182 million.

• Analysts are predicting a profit of $0.22 per share.

What to Really Watch• Listen in to the conference

call to see if the one-year delay of the new Medicare coding could effect business.

• One factor weighing on earnings is the company’s spending to build-out the infrastructure for future growth. Listen to see how long the company plans to continue that level of spending, and whether or not it is paying off.

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Warren Buffett’s Worst Auto-Nightmare