Response to the following problem:
On Tuesday, February 16, 2000, the L Corp. announced that its fourth quarter 1999 earnings per share rose to 67 cents, up from 55 cents for the fourth quarter of 1991. On the same day, M Corp. announced fourth quarter earnings of 63 cents per share, compared to the previous year's fourth quarter earnings of 66 cents. On February 16, 2000, L Corp.'s share price fell from $27.375 to $25.375 and M Corp.'s share price fell from $40.125 to $37.375.
Why would the share prices of both companies fall when these earnings figures are announced?