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Alias Born 11/10/2009

Re: flaflyersfan post# 2870

Tuesday, 11/17/2009 7:25:04 PM

Tuesday, November 17, 2009 7:25:04 PM

Post# of 64411
Dude, a firm's share price is simply the net present value of all expected future earnings. Different people have different expectations of future earnings, which is the reason people have different ideas of what the share price ought to be and whether they ought to buy or sell. Not that it matters for anything but I've got an MBA in finance so I am absolutely positive this is correct.