Personally, I am not a fan of the habit of company management providing guidance for sales or earnings. That is, quite frankly, the job of analysts and by providing guidance, corporate executives try to influence analyst forecasts in a certain direction and in make analyst forecasts less informative for investors (at least in my view) because forecasts bunch up around management guidance.
This is spot on Joachim … there are lots of pressures on analysts, one of them is from sales teams who want news flow that moves the market, or at least allows them to take trading share. And as we know, this is hard to find as the market is often (not always) efficient.
This is spot on Joachim … there are lots of pressures on analysts, one of them is from sales teams who want news flow that moves the market, or at least allows them to take trading share. And as we know, this is hard to find as the market is often (not always) efficient.