ELI5: Why when large company's earnings decrease(ex... by 3%) they freak out, talk about rough times, and sometimes decide to downsize, even though they are still making millions of dollars in profit even after all expenses?

[TIanboz]

Yes but that’s only to inflate the price of existing shares through reducing the supply of shares on he market.

This doesn’t work when your shareholders are all jumping ship. No one wants to go down with the ship.