Publicly traded United States companies report sales and profits to investors every quarter.

Trust-me companies are companies whose financial results gallop ahead of their businesses, companies with seemingly perfect control over their quarterly sales and profits. Companies whose financial statements are loaded with footnotes: companies that short-sellers often attack but rarely dent.

Investors have been too willing to buy stocks with strong reported earnings, even if they do not understand how the earnings are produced.

Alex Berenson Quotes