Patterns Quarterly

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Patterns Quarterly
stock patterns as quarter earnings increase?

ive looked at microsoft quarterly earnings, and compared this to the value of their stock at the time when the earnings were released. i cant seem to find a correlation. you would think that if a companys qrtly earnings showed an increase, more people would want that companys stock, and the share price would go up. from what ive seen it doesnt look like this is whats happening, why is that?

They say the stock market is a discounting process that tries to price itself between six months and 18 months ahead. (I think we have been on the shorter side recently).

That means quarterly earnings shouldn’t have too much of an effect unless they surprise greatly to either the upside or downside.

Also quarterly earnings can vary depending on how and when they manage to book profits. There is some room for the company to manage them. Unless a quarter’s earnings changes the earnings estimates for a year they don’t mean all that much.

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