3 ms·
> Aren't stocks worth more than their instantaneous value? I expect the value of stock A to grow at a better rate over time than stock B. Well, in theory stock
by jldugger 7y ago
> Aren't stocks worth more than their instantaneous value? I expect the value of stock A to grow at a better rate over time than stock B.
Well, in theory stocks are valued based on their projected future performance. See also the efficient market hypothesis. Even if not true, there's no reason to think someone selling shares to cover purchases would have any insights on how to outperform.