76 votes

Why do stock prices of retailers not surge during the holidays?

"Systemic and well know patterns in sales" are priced in to the security. Typically companies with very cyclical earnings like this will issue guidance of earnings per share within a range. These ...
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16 votes

Why do stock prices of retailers not surge during the holidays?

The expected holiday sales are "known" or actually guessed at beforehand, and stock prices move in line with these expectations before the holiday. If the actual post holiday sales are more or less ...
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14 votes

Why do stock prices of retailers not surge during the holidays?

I think the question can be answered by realizing that whoever is buying the stock is buying it from someone who can do the same mathematics. Ask your son to imagine that everyone planned to buy the ...
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  • 557
7 votes

Why do stock prices of retailers not surge during the holidays?

If you look at S&P 500's closing price for the first trading day on December and January for the last 20 years, you will see that for 10 of these years, stocks did better overall and for 10 others ...
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6 votes
Accepted

Is the IRS open December 26?

No. The IRS takes phone calls Monday-Friday. December 26, 2015 is a Saturday.
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  • 188
6 votes

Why do stock prices of retailers not surge during the holidays?

That's a pretty good question for a six-year-old! In addition to the good answers which point out that expectations are priced in, let's deny the premises of the question: Sales do not increase the ...
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5 votes

How are salaries calculated for holidays falling during maternity leave?

It depends on the contract, and since it is a public school system it will be in their written policies. Leave without pay is a “non-pay status”. Often one does not get holiday pay if on a non-pay ...
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5 votes

Why do stock prices of retailers not surge during the holidays?

Your explanation is nearly perfect and not "hand wavy" at all. Stock prices reflect the collective wisdom of all participating investors. Investors value stocks based on how much value they expect the ...
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4 votes

For what dates are the NYSE and U.S. stock exchanges typically closed?

Stumbled upon this question, I've found the updated dates for 2016 and 2017 in a more permanent location. https://www.nyse.com/markets/hours-calendars
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2 votes

Why do stock prices of retailers not surge during the holidays?

Excellent question for a six year old! Actually, a good question for a 20 year old! One explanation is a bit more complicated. Your son thinks that after the Christmas season the company is worth ...
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2 votes

Why do stock prices of retailers not surge during the holidays?

I used to be in research department for big financial data company. Tell your son that there are three factors: net sales vs. expectations consumer sentiment product sell-off Most people think ...
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1 vote

Why do stock prices of retailers not surge during the holidays?

While there are lots of really plausible explanations for why the market moves a certain way on a certain day, no one really knows for sure. In order to do that, you would need to understand the '...
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1 vote

How to evaluate annual leave amount when comparing jobs?

A purely factual approach to placing a monetary value on the PTO would be to compute your daily rate and then figure an actual daily rate if you utilize your vacation days. This assumes you are ...
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