Short-term speculators would probably NOT use _________ to develop a stock value.

Question

Quizplus · Accepted Answer

The orientation in this chapter is mostly toward long-run concepts of valuation, rather than toward determining short-term market pricing factors. Speculators ignore present value analysis, with its associated long-term forecasts of dividends and earnings per share. Instead, they only use earnings per share and apply an appropriate multiplier to compute the estimated value.

Short-Term Speculators Would Probably NOT Use _________ to Develop a Stock