RG, Oceanside,CA

2 Comments

    • Analyzing Analysts on GE, GOOG, C Earnings [view article]
      As a retired engineer/applied scientist, I always smile when the quarterly corporate results are posted and the price of the stock is either "rewarded" for an earnings postive surprise because it exceeded analysts expectation or "punished" because it didn't achieve analyst's expectation.

      In the technical world, the person who predicts the outcome of an event is rewarded for the closeness of the prediction to the REAL event outcome... and preferably the prediction is conservative -- ie. a good prediction is to come within a few percent below that of the actual occurrence...the actual outcome is never rewarded!

      So...why is it that corporations are rewarded/punished if they meet or exceed/under achieve analyst's expectations?? Itsn't it difficult enough in today's world managing a corporation without having to worry about what analyst's think the corporation should make in revenue, earnings, etc. every 90 days or so???

      GE's most recent report is a good example, a hiccup late in the quarter not only sank the stock but also the stock market! I guess when the added revenue/profit is added to next quarter's results...the stock and the stock market will rise as dramatically as it fell!
      Apr 21 04:02 PM
    • Things Not So Swell at Mattel [view article]
      It's time for Mattel's Board of Directors to replace all its senior management. Given the salaries, options, and perks afforded to senior managment these days, the lack of attention to IMPORTANT details is inexcuseable. Sep 07 10:37 AM
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