How to Win Investors Over Case Solution
Are they making an error? On the contrary, claims Lev, an accounting professor at NYU Stern: Investors need more details, and they are going to reward businesses which make it accessible. Non -GAAP pro forma earnings statements, and executive conference calls with analysts and investors after the launch of earnings statements are powerful tools. Done right, they are able to bring decreased cost of capital, lower volatility, and higher stock prices, and they may also check its effects and investor litigation. Guiders can also get assistance, which would be in order if your predictions are better than analysts' consensus forecasts.
Keep credibility and do not hidethe truth-falsifying expectations which state that the benefits which are reported will comfortably surpass them engenders mistrust. Resist legal advice to be dull or cryptic, and do not miss the value of soft tips; executives' story and tone color many investors' choices and account for most stock price changes in the aftermath of financial reports. These aren't easy times to be an executive coping with financial markets. But running away from disillusioned investors just makes things worse. Much better is to shape your financial reporting and communications strategies appropriately and to determine what they value.
This is just an excerpt. This case is about Finance
Publication Date: 11/01/2011