destanhw
2024-01-31

$Advanced Micro Devices(AMD)$  I've never really understood why when a company beats estimates, we say the company did a good job and vice versa. When a weather forecaster correctly predicts rain, we dont say good job to Earth for making it rain, we say good job to the forecaster for accurately forecasting the weather. On this note, why then are people bearish on a company if its revenue did not meet estimates? Shouldn't it be based on the company's current and future performance?

AMD Plunge: Chip Stocks Start to Pull Back?
AMD fell 10% in after-hours trading. While AMD's fourth-quarter financial report exceeded analysts' revenue expectations, the guidance for the first quarter fell short of expectations. Affected by AMD's earnings, other semiconductor stocks also fell in the after hour trading. ------------- Will chip stocks start to pull back following AMD's earnings? Are you bullish or bearish on QCOM's earnings? Which chip stock is a better choice to invest in AI?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • Azerone.Kee
    2024-02-05
    Azerone.Kee
    because stock trading is based on the expecting future value of the stock. when the opinion leaders say good or bad for a company, the followers will react for it. so happened when the fact is not same as the expectation, the followers will take "corrective actions" for it.
    • Azerone.KeeReplydestanhw
      Based on the historical data, and the outlook for the future, estimate the value of the stock in the future.
      If people expect the business of a company will be blooming, people will start buying its stock, and its price will grow high.
      And vice versa.
      See the PE value of your stock in hand.
    • destanhw
      Are analysts' estimates based on future value of the stock? or are they just the analysts assessment of the company's expected performance with the previous quarter? my understanding is the latter.
  • JL1Apr
    2024-02-05
    JL1Apr
    It was just an excuse for Wall Street to push up or sell down.
  • cheezzy
    2024-02-05
    cheezzy
    Agree! Numbers ≠ Future.
Leave a comment
5
7