Modestly apart, most organizations have started brandishing their quarterly financial staminate with "words of progress" with common use of words like exceptional, superlative, fantastic etc. I picked up an article (read: advertisement) this Friday by Indiabulls which was none short of self-aggrandize. On Sunday, PNB displayed it's annual statements in flying colors - Raising benchmarks, exceeding targets.
These may be great companies but more often than not, the primary reason behind such statements is the increasingly prevalent progression towards a short-term rise in shareholder wealth. As more organizations are looked after by professional management and with a more informed and demanding investor community - maintenance and increase in share prices become inevitable.
My request to all is -
- turn a blind eye to any such messages (by the organization or otherwise). As investors, we should invest by numbers rather than news
- be conservative. Always treat such messages with suspicion (whether they may be right or wrong). Any company worth it's salt (like HLL, ITC, Britannia) will never resort to such practices. The value will speak for itself.
Tuesday, October 18, 2005
Marketer of a company
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment