Impact of Expectation of Quarterly or Annual result of a Stock
There is a question which haunts me as well as other investors What will be QoQ or YoY Result of a Company? I have seen that a lot of time companies have shown growth but share still comes down because result was not as good as expected. Now someone please tell me who is setting the expectation and why? Why cant it be plain numbers? What is the purpose of putting up an expectation on a stock. Is it for to make an investor fool? Once I saw that L n T shows PAT(profit after tax) 12% up on QoQ but the expectation was 19% so share came down to 4%. And a lot of people booked loss on that day. If PAT is increasing, it means company is growing so is your money. Why to bother about expectation? Its just people are being fooled by the television anchors and so called analysts. Don’t bother about expected result. Go for the actual numbers. Then decide yourself. Stay Invested. Buy Right Sit Tight.