Re:Twitter Reports Weak Earnings and the Stock Is Crashing
by wutbrodo on Wednesday April 29, 2015 @07:20PM
(#9462473)
> who sets these expectation numbers, how do they get it and why can't normal investors arrive at the same numbers?
I'm not quite sure what you're asking here: "Normal" investors can and do set these numbers. Every time you buy or sell a share of stock at a given price, you're adding your (tiny) signal of what you think the price should be (and nudging it a little in that direction as well). The price of the stock reflects the aggregate of the millions of these little guesses.
I'm not quite sure what you're asking here: "Normal" investors can and do set these numbers. Every time you buy or sell a share of stock at a given price, you're adding your (tiny) signal of what you think the price should be (and nudging it a little in that direction as well). The price of the stock reflects the aggregate of the millions of these little guesses.