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Warren Buffett and Jamie Dimon have teamed up to once again call for the end to quarterly earnings guidance by companies.

They argue that short-term guidance has encouraged companies to hold off on technology spending and hiring and research, and has even discouraged many private companies from going public at all.

Dimon , the chairman of the Business Roundtable, said the group of CEOs has thrown its support behind companies backing away from the practice.

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The two men are among the financial industry's most powerful leaders.

Dimon has blasted excessive reporting requirements and the short-term focus of quarterly earnings.

"Reducing or even eliminating quarterly earnings guidance won't, by itself, eliminate all short-term performance pressures that USA public companies now face, but it would be a step in the right direction", Dimon and Buffett wrote. "Such short-termism is unhealthy for America's public companies and financial markets - which are critical to economic growth and financial prosperity", Business Roundtable said in a statement.

Although we've seen no immediate opposition to the proposed elimination of quarterly EPS guidance, it's not hard to imagine what at least one argument might be: just because companies don't publish the number does not mean they won't calculate such a number. "Public guidance was the fix for many companies". Around that time, big companies like Coca Cola, UPS and AT&T said they would no longer give quarterly guidance.

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In a CNBC "Squawk Box" program interview and an opinion piece published in the Wall Street Journal, Buffett and Dimon said quarterly forecasts, known on Wall Street as "guidance", take up management's time and lead to decisions that don't benefit companies or their shareholders.

However, companies that are in favor of issuing guidance say that it improves communications with Wall Street, lowers share price volatility and results in higher valuations.

Quarterly earnings guidance works like this.

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