The earnings calendar is getting pretty thin – to the point that next week has very few big-name reports.  That just means we have to dig a little deeper.  But we didn’t have to dig too far to find our next earnings play on HJ Heinz (NYSE:HNZ). 

HNZ reports next Tuesday before the open with analysts expecting no change from a year ago.  Given that the company has posted year-over-year earnings increases for the past six quarters, it would appear that expectations are muted.  HNZ usually beats the analyst expectation, although it did miss by a penny last quarter.  But that marked the first such miss since November 2006.

On the charts, the stock is in the midst of a solid rally that has covered 7% in the past week (It’s down 1% amid the broader selloff on Thursday).  The gain has pushed the shares above all relevant technical resistance except the 50-day moving average, which lingers just overhead.  A break of that trendline, however, should pave the way for the shares to return to their May high.

The Street doesn’t have much faith in the current rally.  The put/call ratio has spiked to its highest level in a year, fewer than half the covering analysts rate the stock a buy, and the short-interest ratio has been rising for two months to challenge its annual high.  Such skepticism tells us that the current rally has plenty of fuel left to keep the momentum intact.

HNZ may sound like a boring food company, but its expansion into emerging markets makes it a more attractive play than most of its peers.  Between growth overseas and cost-cutting measures, HNZ has been able to maintain healthy margins.  With expectations modest at best, look for HNZ to impress with its earnings and for the stock to challenge its 2011 highs near the $55 mark. 

HNZ options don’t appear to be reflecting the stock’s recent volatility, which means that they represent a good buy right now.  Jump on board before the premiums get richer as earnings approaches.  Buy the Sept 50 call for around three bucks.

Have a great trading week.