Earnings

No doubt that earnings do affect the stock price, even though this is not the only reason. Each quarter's earnings show whether this company is able to make profit or not, and on the day of the financial report releasing, we can also know the company's future plan. of course that earnings can affect investers' confidence. Let's say a company doesn't really doing well in industry for a couple of years, that will definitely affect investment from institution. I do see some company actually doing well, not that bad, but because of other factors that also affecting company such as Alibaba.