How come Stock Market Shares fall in Value during a Recession when a Company Breaks Even?

Does this make any sense? Why does a share of stock fall in value when a company breaks even during a recession? It seems to me that breaking even in dire economic times would actually be a good thing, no?

Lets factor in that many stocks no longer give dividends out. If you own a stock that gives no dividends out, and that company breaks even during tough economic times, why should the stock go down in value?

Yes, breaking even is the new profit, and that sure makes more sense than devaluing a stock when the parent company can break even in a recession.

How many of you would have been happy if the stock market would just stay stabilized in the past 2 months? If a company isn't losing any money nor making any money during a depression, why should your stock value go down if the company is not even paying you a dividend?

When a company breaks even, that means they paid all of their obligations, paid its employees, overhead, and taxed, but didn't have enough to create additional wealth for his investors. If the company didn't lose money, why is Wall Street devaluing my stock shares?

A simple question from a simple mind. Can you answer it? The company didn't make any profits during a recession, so that must mean the stock is now worth 20% less??? Huh? Why?

It is likely that a company that can break even during dire economic times probably will do ok if and when the economy picks up.

Me thinks some people on top are kind of stupid, either by design or ineptitude. Who gets removes them from their position, and when?

What will fix the Stock Market? How about the government admitting that they and the banking community have gutted the consumer beyond recognition.

George Bush will speak AGAIN this morning and once again I will be reminded of the musical quartet playing on the deck of the Titantic as the Titantic sank. I feel as if George Bush is simply there to ease our minds while the economy tanks.

What would fix the stock market?

An acknowledgement by the government that between their level of taxes and fees, along with ultra high interest rates by the banks on unsecured credit, the consumer does not have enough spendable income left. If President Bush would just admit this, and agree something needs to be done about it, this would actually encourage wall street. New investments in products and goods by businesses would be spurred by the belief that the consumer will be able to afford new purchases at some point in the near future.

However, something else has to happen, and I'll devote my next article to that key issue.