Stockbridge Sprockets Inc. earned $2.25 per share last quarter, and $2.50 the quarter before that. Because of declining demand for sprockets, analysts consensus estimates for the company for this quarter are $1.90 per share. If the companys actual earnings announcement is $2.00 per share, absent any other news, what would the price of the stock be expected to do following the announcement?

Multiple Choice

• Go up

• Remain unchanged

• There is nothing in the data provided that would cause the stock price to move

• Go down

• Go either up or down