RE: RE: RE: RE: RE: Stock yet still climbsYes, I agree. The SP has lagged steadily improving performance and prospects, arguably since 2007. Resulting has been a growing value gap, now big. These things never last forever, eventually market wakes up. The nice thing for longs is that market often overshoots, so the calculated SP targets that analysts are coming up with should be seen as very conservative minimums, even beyond the caution of the models being used. Predictably, analysts will be able to look good revising them upwards over the next 6 months or so.
Conundrum for the day: why do analysts who overestimate a share price get tarred and feathered, but analysts who underestimate and then do upward revisions are viewed as having the gift of second sight? If the name of the game is estimating, then underestimating is just as much an error as overestimating, no? If it causes people to sell early, it costs people money, just like overestimating, so practical consequences equally bad in either case.
Gormless