Investing, Stock Markets and
the Earnings Season ... Again!

It is this time of the year ...

The time of the earnings season again.

The part of each yearly quarter where investors always believe that it doesn't really matter whether a company does well or bad!

It is this time of the year that the only thing that really counts is whether a company did better or worse than actually expected or "forecasted."

In plain words, it is fine for a company to get heavy losses, as long as the extent of the predicted, forecasted or expected decline is at least a little less than the analysts had been expecting.

At the same time, a company that does really well deserves to be hardly punished -- punishment = declining stock price -- if its ascent is even marginally slower than what analysts had actually been expecting!

If this sounds stupid to you ...

It does definitely mean that you 100% get it!

IT IS 100% STUPID!

Measuring actual performance against expectations is OK within the context of a feedback process -- a normal and healthy aspect of intellectual activity, which ...

IS NOT OK when it becomes a real psychosis!