Looking for earnings surprise from Cheetah Mobile - 1-day trade

Cheetah Mobile has beaten earnings estimates on 8 out of its last 10 earnings dates. That makes it a good candidate to win again. Generally, when Cheetah Mobile beats estimates, it rises for just a single day and then falls again the day after. I've made a $500 bet that we get an earnings surprise, and I will liquidate the position tomorrow morning either way.

As a general rule, companies whose stock price has declined in recent weeks get a bigger bump from an earnings surprise and a smaller drop from an earnings miss. In addition to having routinely beaten estimates, Cheetah Mobile has also seen a 30% drop in share price since March. That makes it a good candidate for an earnings play.

Comment:

Cheetah reported an earnings miss, but a revenue gain. It climbed as high as 2.5% in after market trading. It lost most of that, but as of 7:30 am it's up about .5%.

Comment:

I closed out my position while it was up. Good thing, because it's now down 4%.