Finance assess the logic of his investment strategy

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A University Professor observed that the news program “60 Minutes” had done over 30 adverse news stories on NYSE listed companies in the past five years. His analysis of the post-story stock price performance led him to believe that substantial economic benefits could be realized by selling short the stock of companies immediately after the broadcast of a “60 Minutes” news story (buy if the story is positive).

How would you as an expert in finance assess the logic of his investment strategy?

Reference no: EM13879360

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