Corporations report profits on their books. Those profits may or may not translate into higher stock prices because all earnings are not equal. Investors often talk about high or low quality earnings, a distinction that refers to the reliability and sustainability of the earnings stream, as well as whether it results from real sales or fancy bookkeeping. They also evaluate whether the earnings are commensurate with the risk taken. That is why just boosting earnings often does not translate into a higher stock price. Stock multiples can decline…