In my opinion, this image makes it quite clear that the market either does not trust:
- Analysts’ earnings forecasts
- The realization of cash flows consistent with those earnings forecasts in the near future.
It would be quite humorous if, in 2027, Verve were trading at a trailing P/E of 6-ish while the coffers were ringing in sync with earnings (cash flow conversion ~100%) and earnings simultaneously continued their annual growth.