Question
According to the efficient market hypothesis, stock prices fully reflect available information about the value of the firm, and there is no way for individuals
According to the efficient market hypothesis, stock prices fully reflect available information about the value of the firm, and there is no way for individuals or mutual funds to earn excess profits or outperform the market. But, is it true? We will play a simple investment game to test this hypothesis.
For each stock's recommendation, you should act like a stock analyst to provide rationales about why investors should hold this stock. You are NOT required to write up a whole page research report to explain your reasons in detail, but you need to summarize some key aspects of why you pick up this stock. For example, you can talk about a company's unique strategies, business model, new product development, customer satisfaction, etc. that you believe it would drive up the stock price. Some data, including P/E ratio, EPS, ROA, ROE, or statistics from the technical analysis, would be helpful for your classmates to understand the stock better.
Please create a new thread with the name of the company as the topic for each stock you want to discuss/recommend. Please present your points in a logical order. All thoughts, words, and ideas that are not your own must be referenced appropriately. You could cite references from magazines, newspapers, or books to build stronger arguments.
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