RE: Debtors Council - Part 28 Jan 2023 10:30
"The efficient market hypothesis (EMH) or theory states that share prices reflect all information. The EMH hypothesizes that stocks trade at their fair market value on exchanges."
But clearly that information changes and with Cine, the imminent change for shareholders could be disastrous or glorious or anywhere inbetween. And at the point of that change, the market will react and the investors who are already involved will reap the rewards or the whirlwind. So while the EMH might be right in saying that the current sp is the appropriate evaluation of the risks/rewards of Cine's predicament at the moment, the existence of any sp other than zero states that the market is allowing both for good and bad outcomes because the future information cannot be known until it actually happens. Given that, does the EMH actually have anything to say for Cine holders while we wait?