FenrirIII@lemmy.world to Technology@lemmy.worldEnglish · 4 months agoMicrosoft CFO calls for 'intensity' in an internal memo, after blowout earningswww.businessinsider.comexternal-linkmessage-square42fedilinkarrow-up1342arrow-down17file-text
arrow-up1335arrow-down1external-linkMicrosoft CFO calls for 'intensity' in an internal memo, after blowout earningswww.businessinsider.comFenrirIII@lemmy.world to Technology@lemmy.worldEnglish · 4 months agomessage-square42fedilinkfile-text
minus-squarejordanlund@lemmy.worldlinkfedilinkEnglisharrow-up62·4 months agoPublicly traded companies have to continually make more money than they did last month, last quarter, same time last year. Failing to do so means they are somehow “losing” money that is “rightfully owed” to them and the stock market punishes them. It doesn’t matter if you’re profitable or not, so long as you’re continually making more money.
minus-squarevithigar@lemmy.calinkfedilinkEnglisharrow-up6·4 months agoIt goes a layer further than that even. If the rate at which that growth is happening isn’t itself growing then investors start getting nervous.
Publicly traded companies have to continually make more money than they did last month, last quarter, same time last year.
Failing to do so means they are somehow “losing” money that is “rightfully owed” to them and the stock market punishes them.
It doesn’t matter if you’re profitable or not, so long as you’re continually making more money.
It goes a layer further than that even. If the rate at which that growth is happening isn’t itself growing then investors start getting nervous.