Eastman Kodak (EK)

Eastman Kodak is an example of a company that failed to respond quickly to the disruptive technologies turning its industry on its head.  EK went from competing with Fuji for market share in the film market to competing with every digital camera manufacturer out there, and has been bleeding money ever since.  However, in the last earnings report, they seemed to have turned the corner and blew out all earnings estimate.  For the last quarter, median earnings were estimated at 0.18 and the high estimate was for 0.31 per share.   EK reported earnings of 1.08 per share in the last quarter of 2009.  Looking at the share price chart, EK is in a cup and handle formation (currently in a very tight handle).  There is major overhead resistance in the form of a large number of open calls at the $6 strike price.  But if EK can breach this overhead resistance, the scamper to buy stock by the people who have sold those calls could apply additional upward pressure on the stock price.  The stock is currently trading a hair below $6 per share.