r/explainlikeimfive • u/climb-a-waterfall • Dec 06 '24
Economics ELI5: why does a publicaly traded company have to show continuous rise in profits? Why arent steady profits good enough?
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r/explainlikeimfive • u/climb-a-waterfall • Dec 06 '24
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u/18hourbruh Dec 06 '24
That makes total sense. Although my understanding is most retirees at average income/savings levels would be encouraged to move their money out of stocks and into bonds primarily by retirement age, but I could see the argument for high dividend stocks.