Long Position on WOOF @ $64.31 on 5/17/2016 (Momentum)

Bullish Cup & Handle on WOOFVCA Inc. (WOOF) operates as an animal healthcare company in the United States and Canada.

It operates in two segments, Animal Hospital and Laboratory.

The Animal Hospital segment offers general medical and surgical services for companion animals, as well as specialized treatments comprising diagnostic, internal medicine, oncology, neurology, endocrinology, ophthalmology, dermatology, and cardiology services; and sells related retail and pharmaceutical products. It also provides specialty pet products, including pet food, vitamins, therapeutic shampoos and conditioners, flea collars and sprays, and other accessory products; and additional services, such as grooming, bathing, and boarding services. In addition, this segment performs various pet wellness programs, such as health examinations, diagnostic testing, routine vaccinations, spaying, neutering, and dental care. As of December 31, 2015, it operated or managed 682 animal hospitals.

The Laboratory segment offers testing and consulting services used by veterinarians in the detection, diagnosis, evaluation, monitoring, treatment, and prevention of diseases and other conditions affecting animals. This segment serves animal hospitals, animal practices, universities, and other government organizations. It operates a network of 60 laboratories.

VCA Inc. also sells digital radiography and ultrasound imaging equipment, related computer hardware, software, and ancillary services to the veterinary market, as well as provides education and training, consulting, and mobile imaging services; and franchises pet services, including dog day care, overnight boarding, grooming, and other ancillary services at pet care facilities.

Shares have formed a bullish "cup and handle" following the company's latest quarterly report and after the firm purchased, its competitor,  Companion Animal Practices. The firm reported EPS of 66 cents, five cents above the estimates. Revenue of $563.4 million was higher than the estimates of  $557.2 million.  Higher share prices are expected for this stock. 

52-Weeks Trading Range: $44.00 - $65.34

Entry Point: $64.31

Stop Loss: $61.00

Target Price: $70.75

Updates

7/8/2016 11:16:13 AM

WOOF closed at $68.10.

Position closed on 7/8/2016 at price of $68.10 with a 5.89% gain in 52 days.

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