Thursday, April 14, 2005
Why stock picking is so much fun.
Apple's profit surged more than sixfold and revenue jumped 70% on strong results from its iPod and computer businesses... The results far exceeded Apple's previous earnings forecast ... [Wall Street Journal]It's not what a company actually does that counts, nor even what it does compared to what people thought it'd do.
Apple shares beaten to a pulp. Shares of Apple Computer Inc. tumbled nearly 6 percent a day after the maker of iPods and Macintosh computers reported better-than-expected quarterly earnings but a weak revenue forecast raised concerns among investors... [CNN]
It's what they thought it'd do compared to what they think it'll do. And who the heck knows why they think either thing?
That's why it's only mutual funds for me. Broadly diversified mutual funds.