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0 pointstr1ll10nb1ll3y ago0 comments

Why does there have to be one or the other? There should be both the metrics.

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kqr3y ago

That's what I'm saying. In the terminology of systems theory, the value of a stock over time tells you rather little about what's going on in the system compared to knowing both inflow and outflow.

tr1ll10nb1llOP3y ago

True. There should be a simpler mechanism. In case of stocks, there exists the balance sheet but there should be something simpler yet more informative. For instance, the regular watchlist we have (on Yahoo Finance) with a couple more datapoints from the balance sheet.

kqr3y ago

Note that I used the word "stock" in its system-theoretic meaning, i.e. an accumulating quantity whose level depends on inflow and outflow. Not in the financial equity sense.

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kqr3y ago

That's what I'm saying. In the terminology of systems theory, the value of a stock over time tells you rather little about what's going on in the system compared to knowing both inflow and outflow.

tr1ll10nb1llOP3y ago

kqr3y ago

Note that I used the word "stock" in its system-theoretic meaning, i.e. an accumulating quantity whose level depends on inflow and outflow. Not in the financial equity sense.

1 more reply

j / k navigate · click thread line to collapse