Market Anomalies

Earnings Reports (against EMH)
Investor can profit from investing immediately when a company reports because it takes time for the market to absorb the new information.

January Anomaly (against EMH)
January effect indicates that as a result of tax-related moves, investors have been shown to profit by buying stocks in December as they are being sold for losses and then selling them again in January.

Price-Earnings Ratio (against EMH)
Investors can profit by investing in companies with a low P/E ratio.

Price-Earnings/Growth (PEG) Ratio (against EMH)
Investors profit by investing in companies with low PEG ratios.

Size Effect (against EMH)
Smaller companies, on a risk-adjusted basis, have greater returns their larger peers.

Neglected Firms (against EMH)
Neglected firms are firms that Wall Street analysts deem too small to cover. As a result, these firms tend to generate larger levels of return.