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The price of a stock is directly related to the expected future price and earnings. Select...

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Finance

The price of a stock is directly related to the expected futureprice and earnings. Select one: True False

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4.3 Ratings (703 Votes)
False The price of a stock is not directly related to the expected future price and earnings It is related to a lot of different things Lets understand in detail Noone can predict the future Thus expected future price and earnings are statistics which are driven by certain variables and assumptions carried out by Financial Analysts They design financial models which    See Answer
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The price of a stock is directly related to the expected futureprice and earnings. Select one: True False

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