I'm having trouble understanding what I'm seeing in regards to Turtle Beach. I'm not long/short them atm but I've not been able to find a good explanation anywhere.
As seen on the chart, earnings on 06AUG beat estimates by a significant margin, yet immediately after that the price tanked from ~$32 to $24 (today), breaking out from a textbook head and shoulders pattern.
I understand there are other variables at work, but is it normal for a company to have a significant surprise on earnings then have the stock price take off in the opposite direction? As another used mentioned here, the same thing happened with Best Buy.
What the fuck is the point of earnings estimates if meeting them doesn't matter? I almost feel like the numbers given to the public are just made up and the real earnings estimates are kept secret by institutional traders.
Submitted August 28, 2018 at 05:35PM by NaBeav https://ift.tt/2BVsozv
No comments:
Post a Comment