Sometimes they have positive earnings, but it doesn't meet analyst expectations.
Sometimes there are positive earnings, but sales revenue has fallen, so people begin to sell the stock.
Sometimes the positive earnings is due to "non- repeatable special items" put the normal operating profits have fallen, so the stock falls.
Sometimes its because the company reports a dismal future outlook after the positive earnings, which makes the stock fall.
Sometimes, but it's not a sure thing by any means. A company may have great earnings but not match "street expectations" in which case it could go down. Or they may have good earnings but "guide" lower (that means they issue a negative projection about future earnings that was unexpected). Or the market may be in one of its funky moods where it goes up in spite of bad news or goes down even with good news.
"Usually." It ALSO depends on their forecast for the coming quarter / through the end of that fiscal year.
The market tries to discount the future. It is always trying to llok forward to the next news rather than the current news.
No. If they did we would all be millionaires.
2 days ago, the company "FDS" (Quote for the company) had a positive earnings report wherein the revenue increased comapred to the previous quarter.
The very next morning, when the NYSE opened until its close, FDS's stock rose by 3%.
Do companies always gain benefits to their stock when they have a positive earnings report?
