Stock prices on the Warsaw Stock Exchange are influenced by how stable a company's earnings have been in the past. Companies with smooth earnings tend to have higher stock prices, but they don't necessarily perform better in the future. In fact, stocks with erratic earnings may actually generate higher returns. The level of earnings smoothness doesn't seem to affect investment risk, and companies with smooth earnings often end up with slower earnings growth in the following year. Overall, there isn't solid evidence to support the idea that smooth earnings lead to better stock performance in the future.