My Thoughts on How Earnings Affect Stock Price

Well, basically most investors want to earn profits from their stock investment of the particular company.

Take examples $Apple (AAPL.US)$ or $Tesla (TSLA.US)$ .

How will the investors react if the annual or quarterly report of these companies are in the red?! I'm pretty sure the stock prices will be on the red as well. Not only that, you'll see your portfolio drop by 70-80% and you'll feel like

Henceforth, company earnings and it's financial reports are crucial and definitely will have impact on its stock price.

Just my humble opinion. Let me know what's your thoughts in the comments area, perhaps some of you have different opinions.

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