The one thing that you can count on is that you can never figure out how the Market will react, at least I can't. What am I talking about? Lets talk about two live examples, DPZ and MOT.
DPZ came out with great earnings for the last qtr and what did the stock do? Went down. On the other hand, analysts are telling us that MOT is fairly valued at $21., yet the stock keeps going up.
You can't do anything about it but you have to be open minded to succeed in the Market.
From the Yahoo Message Board, a chap wrote:
They guided down on the full year. With the new regulations of FD (Full Disclosure), the Street reacts more to guidance then quarterly results. Prior to FD, the quarterly results drove price increases and guidance was the extra push, assuming that it was positive. If it was neutral, the Street knew that it would have access to feret out results during the active quarter. That's all changed now.
Makes sense to me. The company said they will have earnings of 13-15%. The PE is at 25. Could be price a little high. Lets see what happend tmwr!
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