rfnel Newbie

Joined: 22 Nov 2009 Posts: 1
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Posted: Fri Nov 27, 2009 5:10 am Post subject: The effect of sales on stock prices |
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Hi All
This is probably a very dumb question, but I know next to nothing about the stock market, and I want to get my ducks in a row before risking any money. (Also, if my terminology is wrong, feel free to correct me.)
I would like to know if the total sales of a company over a given period affects the value of its shares. Why I am asking this, is because I was looking at stocks in a newspaper this morning, and I noticed that one can purchase shares in our local (South African) breweries. To me it would make sense that a lot of alcohol (as well as food) will be sold over the festive season. Therefore, if share prices are affected by sales (which I assume could increase the total value of a company) I would think that those shares would increase in value over the festive season. I'd appreciate it if anyone could tell me if what I'm thinking is sensible. Thank you.
Regards,
RF Nel |
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