3/15/09

Can most people be fooled most of the time?

He who wishes to deceive will never fail to find willing dupes


 


Niccolo Machiavelli


 


If the average stock market analyst


forecasted first quarter 2009 earnings to increase 25.7% in October 2008


and re-estimated views to -12.5% on January 1, 2009


which fell to -34.1% in March (IBD, March 13, 2009)


 


why would some (Barrons, March 9, 2009)


suggest expected operating earnings


reflect evidence of an inexpensive market


instead of historically appropriate as reported GAAP earnings


(Standard and Poors)


which may indicate the market is relatively overvalued?


 


Why would some highlight dissimilar calculations of corporate earnings?


 


Is there a correlation between behavior


and information consumption?

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