What is the relationship between expected earnings and stock prices?
Posted by admin in Finance Wednesday, 16 March 2011 18:42 3 Comments
What is the relationship between expected earnings and stock prices?
How earning expectations can influence stock market prices?
see if you come to know that a company is going to make a good profite in coming time naturally everyone would like to trake it’s share so the market price of stock will automaticaly rise becouse the demand for that company’s share will increase.
If a company earns more than expected the stock price will go higher. If a company earns less than expect the stock will go lower.
Expected earnings are earnings expected by stock analysts…