Random Walk Theory

Everything from speeches to elections can cause reactions among investors, which influences stock prices. Economic data also plays a role, as when the ... Jun 7, 2020 ... Overconfident investors believe that their ability to evaluate a stock is better than it truly is, and they underestimate the ability of competing investors to ... Sep 30, 2020 ... During COVID-19 pandemic the Gilead Sciences stock prices rose sharply with large variations. These fluctuations have been tentatively ... Jun 7, 2004 ... We develop a model in which dispersion of investor beliefs under short-selling constraints drives a firm's stock price above its fundamental value. Feb 22, 2025 ... Subjective expectations predict growth well in stable periods, but fail to predict crises. Furthermore, subjective dividend, earnings, and cash ... Jul 1, 2006 ... In the short term, emotions influence market pricing. A simple model explains short-term deviations from fundamentals. Sep 5, 2024 ... Bigger than expected profits are likely to drive the stock (and index) price up, while unexpected losses can have the opposite effect. For a long time people have researched how poor air quality affects health outcomes like strokes, heart attacks, depression, suicide, and so on. Now we want to ... May 13, 2024 ... In 2021 the subreddit famously proved its ability to influence share prices, particularly of “meme stocks” driven by social-media trends, by ... Prices rise when there are buyers banging on the door for those shares. Without buyers a share's price will fall. The more buyers there are to create demand, ...