[hitpointdrew]

The stock market price != value of the company. Stock market price == PERCEIVED value of a company. All the stock market does is try and find a equilibrium between parties that want to sell a stock and parties that want to buy a stock. That is it. It doesn't do anything more. You could have a company that is bleeding money month-after-month, is foretasted to never make a profit ever, but if there are more parties (for whatever reason) that want to buy the stock than those who want to sell then the price will go up. The actual financial health of a company is utterly meaningless, the only thing that matters is what investors think of company.

[polote]

> The stock market does price != value of the company. Stock market price == PERCEIVED value of a company.

No it is not, it is the price some investors are willing to buy at, which when the market is rational and there is no bubble is probably the perceived value

[hitpointdrew]

You are arguing over semantics...we are saying the same thing. The price some investors are willing to buy it at, or you could say, the price some investors perceive to be valuable.