📉 Falling Prices ≠ Falling Fundamentals

Market participants often misinterpret price action as a proxy for intrinsic value. In reality, price volatility often reflects liquidity, sentiment, or macro positioning — not necessarily deteriorating fundamentals. Case in point: A 20% drawdown doesn't always indicate a 20% drop in intrinsic value. Yet investor conviction tends to decline in direct proportion to market price — a behavioral flaw known as price anchoring. 🔍 Serious investors rely on DCF, multiples, and forward guidance — not red candles. The delta between perceived risk and actual risk is where alpha is generated.