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Igor

Signaling Approach Definition

By Igor, in Trading Dictionary

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Igor    10

Igor
Posted

For instance, if a company pays out more dividends in a particular year than in the previous two years combined, this is a strong signal that the projected earnings of the company in the coming year will be much stronger than it has been and savvy investors will take position early so as to benefit from the expected share price increase when these expected earnings eventually meet expectations.

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