1. Describe how analysts use announcements, news, and returns to evaluate a stock. In addition,...

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Accounting

1. Describe how analysts use announcements, news, and returns to evaluate a stock. In addition, please use a recent example (within the last 6-12 months) of an announcement or news that impacted a publicly-traded U.S. stock. What was the news? Be sure to cite the stock in your explanation and elaborate.

2. Give an example of a publicly-traded U.S. company that has been downgraded based on an earnings announcement in the last 6-12 months. What did that earnings announcement indicate, why, and what does this mean for the company's long-term strategy? Be sure to name the company. You may use a more historic example if the company altered its long-term strategy to course-correct by altering its business model.

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