An analyst claims, It is not worth my time to develop detailed forecasts of revenue growth, profit
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An analyst claims, “It is not worth my time to develop detailed forecasts of revenue growth, profit margins, etcetera, to make earnings projections.
I can be almost as accurate, at virtually no cost, using the random walk model to forecast earnings.” What is the random walk model?
Do you agree or disagree with the analyst’s forecast strategy? Why or why not?
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Related Book For
Business Analysis And Valuation
ISBN: 978-1473758421
5th Edition
Authors: Erik Peek, Paul Healy, Krishna Palepu
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