Enable The Y-Axis of Stock Plots to show earnings-per-share and price-to-earnings(per-share)-ratio
Alexi,
Thanks for getting back to me, but I am quite dissappointed with the answer you provided.
"Price" is the ultimate resolution of the judgement of the many investors of the market as they
consider the performance of the company and the risks they are willing to take with investing in that company.
However, it sure would be helpful if your Yahoo finance tools could help separate the financial performance
of the company from the risks the market is willing to take with them.
I do believe that earnings per share is a good measure of a company's financial performance, and reflects as
well any changes in the stock float that is present. Quite a few companies influence the number of shares of
stock in the market place both with stock-buy-back and with RSU and other grants to employees, and thus
the earnings per share does NOT just change 4 times a year with quarterly earnings results, but daily plotting
would be worthwhile! It will obviously not change as much as the price, because it's only based on performance
and not risk, but it will change, and it is hard to know how much a price change depends on changes in earnings
per share without plotting it. I believe stock-buy-back is required to be public information, and I think RSU vesting
similarly had means of reporting it.
Then similarly, the risk that the market's investors are willing to take with any company can change by
the minute, as world news changes their perceptions of the risks. While the "price" will reflect that risk
it will also contain the influences of the company's financial performance I just discussed above, and if I
want to see how a price depends on the market's risk perception, then it is smarter to examine the "price
to earnings/per share" ratio, because that separates (to a notable degree), the impact of the earnings and
stock float from the impact of the market's risk perception.
Admittedly, I can write a bunch of software, and download all these numbers dailly into a spreadsheet
and then get the plots I am looking for. But when I signed up for the Yahoo Finance features, paying
several hundred dollars, I had the hope and expectation that the plotting I could do with enable me to
get these valuable plots. If you are saying the Yahoo Finance only had the same "price" plotting that
the free service has, then I will want to cancel my Yahoo Finance membership, as soon as I can. In
contrast, if your tool-set enables these valuable plotting capabilities, then I will be encouraged to continue
my Yahoo Finance ownership. Without these features you are more of a scam, with them, you have value.
I hope this helps you understand my position.
Thanks!
Mark Vancura