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by ZeroTalent
455 days ago
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You can derive the "true price" with a certain probability. Of course, unexpected things can happen, like Musk being assassinated, but the stock market is not completely unpredictable. And the thing is, I don't have to be right about Tesla because I'm not making a single bet on that company. I'm making hundreds of bets using my methodology, and it's enough that I'm right 50-something% of the time (or even less than 50%, if we're talking Options trading). That's what the whole stock market game is about. Hence, some investment companies, like Berkshire Hathaway, consistently make more than others over the long term. |
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