Stock markets only look a quarter or two in the future. It's hard to do anything long-term like invest in R&D unless your numbers are so spectacular you can slip it in there. Very few public companies have numbers that good.
>Stock markets only look a quarter or two in the future.
How does this square with the valuations of companies like Amazon and Tesla whose share price performance is certainly not based on the next quarter or two worth of earnings.
Or pick any other top companyies' stocks which are collectively driving the market, presumably because they are expected to deliver years of more growth and cash flow.
How does this square with the valuations of companies like Amazon and Tesla whose share price performance is certainly not based on the next quarter or two worth of earnings.
Or pick any other top companyies' stocks which are collectively driving the market, presumably because they are expected to deliver years of more growth and cash flow.