This is an excellent narrative. I read it from http://ivanhoff.com/2013/02/19/mark-cuban-on-story-stocks/ the originator is here >> http://blogmaverick.com/2013/01/10/the-stock-market-2/
“If the value of a stock is what people will pay for it, then Broadcast.com was fairly valued. We were able to work with Morgan Stanley to create volume around the stock. Volume creates demand. Stocks don’t go up because companies do well or do poorly. Stocks go up and down depending on supply and demand. If a stock is marketed well enough to create more demand from buyers than there are sellers, the stock will go up. What about fundamentals? Fundamentals is a word invented by sellers to find buyers.”
Hahaha, well said…from a company owner IPOing his startup in the dot com era to a present day investor/trader. I’m actually quite biased against buy and hold and fundamentals analysis.
I often read analysts reports to learn more about the company….never about the projected price targets or the forecastings….they never made any sense to me or mean anything to me….
We buy and sell the stock prices…the price action decide if you profited or lost…not the ratios, the earnings, the projections etc.
I prefer to swear by my sti market breadth analysis 🙂