companies

We all look at stock market share prices and wonder what they mean. Sometimes, when we see a stock that we know is a large and powerful company and compare its price to a smaller company, we are surprised by the result. How can a juggernaut like Starbucks or Walmart cost less than a local utility or another much smaller company? The key to understanding this mystery is: Share prices are not correlated with company prices.

We all look at stock market share prices and wonder what they mean. Sometimes, when we see a stock that we know is a large and powerful company and compare its price to a smaller company, we are surprised by the result. How can a juggernaut like Starbucks or Walmart cost less than a local utility or another much smaller company? The key to understanding this mystery is: Share prices are not correlated with company prices.

The analysis of technology companies is in many ways more complex than other types of publically traded companies.  Many of the metrics applied to typical companies can be deceptive when dealing with technology companies.  This can lead to difficulty in investing in these companies safely.

The analysis of technology companies is in many ways more complex than other types of publically traded companies.  Many of the metrics applied to typical companies can be deceptive when dealing with technology companies.  This can lead to difficulty in investing in these companies safely.