with all the layoff announcements already released and more on the way, has anyone considered the divergence of a significant layoff annoucment vs share price?
thoughts?
thoughts?
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layoffs - how do they reflect share price?
- Thread starter chimike018
- Start date
I don't really understand the question, can you elaborate more? Layoffs probably just confirm the negative growth that's already been priced in.
well, fundamentally you're right..but i mean more, how layoffs impact the same-day trend of a stock. for example, cat announces 10% work-force released and 18 months ago that would've signaled prudence and perhaps brought the bull, recently layoffs have been a sign of uncertainty and continued insolvency which have lead to bearish divergence to increasing layoffs.
i've been using it as an indicator and it's been pretty accurate in 09
i've been using it as an indicator and it's been pretty accurate in 09
you're not mistaken so again as said above, fundamentally they're a positive and historically the market has responded bullish to job cuts for that same reason. however, now with the uncertainty and low confidence, more recently news of layoffs have resulted in immediate downward trends.
Since GOOG announced their recent layoffs, their stock has been making big gains
tradersboredom
Guest
fundamentally layoffs are bad
historically layoffs have no correlation to the value of stocks.
it's a fake correlation between layoffs and value of stocks.
morons in wall street think layoffs are good. though
historically layoffs have no correlation to the value of stocks.
it's a fake correlation between layoffs and value of stocks.
morons in wall street think layoffs are good. though
Quote from chimike018:
you're not mistaken so again as said above, fundamentally they're a positive and historically the market has responded bullish to job cuts for that same reason. however, now with the uncertainty and low confidence, more recently news of layoffs have resulted in immediate downward trends.
if only every stock followed the same trend.
there's always exceptions.
there's always exceptions.
tradersboredom
Guest
rven goog growth is waning are slowing down.
big companies have a limit to growth like msft, goog, gm and they usually end up buying companies to grow.
these large companies like citigroup have the too big to grow and manage syndrome.
big companies have a limit to growth like msft, goog, gm and they usually end up buying companies to grow.
these large companies like citigroup have the too big to grow and manage syndrome.
Quote from cuzzin_elias:
Since GOOG announced their recent layoffs, their stock has been making big gains