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Strategies & Market Trends : Chart Dungeon
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To: Augustus Gloop who wrote (75)2/5/2002 12:24:54 PM
From: Original Mad Dog  Read Replies (1) of 171
 
The ENE debacle is that it changed the public's perception of using accounting principles to "manage" earnings and growth. Companies which do that, even venerable companies like GE, will come under greater scrutiny and be priced with a higher risk factor than previously. Which means, in the short run, lower equity prices. In the long run, though, the risk will balance out and higher equity prices should return.
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