request: how does a company’s stock rise/fall so quickly immediately after earnings?
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It doesn’t always. It falls or spikes a if reported earnings are a surprise, either on the upside or the downside. If they’re in line with estimates, share prices don’t move much, typically.
Also sometimes the top line numbers don’t tell the whole story. It’s only after digging into the numbers more, investors can buy or sell heavily. And that takes a bit of time. So you can have earnings released at 4:30 say, after hours trading is flat. But then the next day after digesting the full report the price can bounce or fall 5% because the full report tells a different story than the top line numbers.
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