Categories
Articles

Extreme Low “CEO Confidence” Typically Counter Indicator

 

“Davidson” Submits:

Only a few CEOs ever see a better future during economic corrections. But, like any group of individuals some are more skilled and have a better historical perspective than the rest. It is times like those we are experiencing today with high pessimism that the combination of a management team’s financial record, insider activity and trends in economic fundamentals are truly valuable in making specific investment decisions.

When the market leans far to one side, as is the instance today representing historical levels with past market pricing extremes, It is a given that the opposite is more likely. Extremely low CEO Confidence is a decent indicator of equity market lows historically.