It is increasingly important for firms to meet or exceed analysts' consensus earnings forecasts. Often management will give' Guidance' or hints of the earnings per share prospects over the next quarter or next year to try to direct the consensus to what is achievable. For example, it is possible that the consensus is well above management's internal forecasts. Management will try to guide the consensus downwards so that when the earnings are released the negative surprise is minimized. Under Regulation FD, management needs to be very careful to provide guidance information to all shareholders - not just a select group of analysts. This is often achieved in investor presentations (that are often webcast) or conference calls (where anyone is allowed to dial in).
| APA | Barry Goldsmith. (2010). guidance. Retrieved September 24, 2026, from http://smartdefine.org/guidance/definitions/1155254 |
| Chicago | Barry Goldsmith. 2010. "guidance" http://smartdefine.org/guidance/definitions/1155254 (accessed September 24, 2026). |
| Harvard | Barry Goldsmith 2010, guidance, Smart Define, viewed 24 September, 2026, <http://smartdefine.org/guidance/definitions/1155254>. |
| MLA | Barry Goldsmith. "guidance" 21 October 2010. Web. 24 September 2026. <http://smartdefine.org/guidance/definitions/1155254> |