4 ms·
If the sales and earnings go up in the long run, and the stocks aren’t super overvalued, then the stocks go up. It doesn’t matter what other people think. All t
by xyzzy4747 2y ago
If the sales and earnings go up in the long run, and the stocks aren’t super overvalued, then the stocks go up. It doesn’t matter what other people think. All that matters is the performance and valuation.
- constantcrying 2y agoYes, they will go up, at the market rate.
- xyzzy4747 2y agoNo, the sales and earnings go up based on how well the executives employees perform. It has nothing to do with the market.
- constantcrying 2y agoYou are totally misinformed about economics. The price of a share is determined by exactly one thing, how much people are willing to buy them vs. willing to sell them. If the market believes a certain stock will outperform the average it is free money to buy that stock, so prices will rice exactly to the point at which the market believes the share will not outperform the market at that price. This is literally basic economics. Google "efficient markets".
- xyzzy4747 2y agoYou can see the price for yourself though vs the fundamentals and judge whether it’s a fair deal. The market isn’t omniscient and has been mispriced very frequently.