Stocks quoted in this article:
A major weekly financial publication noted in its recent issue that newspaper name Gannett (GCI 56-11/16) "is a terrific cash-flow machine. They are terrific operators and the share price imploded." In reaction to these comments, the stock has reached its highest intraday level since September 1 and is now over one percent in the black.
The shares have been technically sound over the short term, dashing ahead by almost 17 percent since their September 25 intraday bottom. Throughout most of this climb, GCI has been supported by its uptrending five-day moving average. What's more, the equity is receiving support from its 20-week moving average, an intermediate-term trendline that it finished last week's action higher than for the first time since late March.
Short-interest players apparently believe that GCI's winning ways will soon be over. From mid-September to mid-October, short interest on the security rose by nearly 32 percent to 1.42 million shares, a six-month high. As contrarians, we believe that this skepticism could have bullish implications for this leader's near-term prospects.