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When companies reach the crossover point, they have filed for an initial public offering (IPO). their stock prices increase, because their earnings are now more

When companies reach the crossover point,

they have filed for an initial public offering (IPO).

their stock prices increase, because their earnings are now more predictable.

their stock prices plummet, because price-earnings ratios collapse because of lower growth expectations.

sales expansion and earnings begin to rise at an increasing rate.

sales grow at a rate equal to the economy, as measured by the long-term trend in gross domestic product (GDP).

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