Sentences with phrase «share prices fall because»

Share prices fall because there are more sellers than buyers.

When interest rates go up, share prices fall because the present value of profits earned in future years is lower.

Not exact matches

In that case, if he can deliver the shares to the lender when prices have fallen, and retain no other contractual obligation (either because it is a non-recourse loan, or because he has no other attachable wealth), he has in effect a put option from the lender that substantially matches the put option he has transferred to employees who buy shares under the program.

Shares were picked over stock options or other profit - sharing securities, such as stock appreciation rights, because they're easier to explain and retain value even if the stock price falls, Stavros says.

Just because the market has taken a dive because of, say, war in the Middle East, doesn't mean to say that the prospects for «ABC» have worsened, even though the share price has fallen along with the rest of the market.

This is seldom done, because it is very discouraging to investors, who may rush to sell when the regular income fails, causing the share prices to fall.

«If it falls flat, the recent increase in the share price (because of the «smell of a turnaround,») may be affected.»

In April, CCA backed away from its promise of delivering mid-single-digit earnings - per - share growth, warning that underlying first - half profits were likely to fall because of difficult trading conditions in Australia, including pricing pressure in water.

Investors should be cautious because an acquisition premium is in the share price of T - Mobile and if a deal falls apart, that premium comes out and the stock goes down.

A falling share price makes a stock's yield goes up (because you still use the latest dividend payment as the numerator to calculate yield — but the denominator, the price, has dropped).

Because share prices move frequently, you are exposed to the risk that the shares might fall in value.

They may buy back shares when the price falls, but not because there aren't indexers in the stock anymore.

However an expert may consider the bid to be «reasonable» because there are unlikely to be any alternative bidders and the share price may fall if the takeover bid is unsuccessful.

Likewise on the opposite side, a company's share price will fall dramatically if they suspend their dividend, usually because they are not generating enough cash flow to aoord the payments, or that they want to build up a cash pile to weather a coming storm.

However, yields can also increase simply because a company's share price is falling.

This offers a guide to your downside if the deal falls apart... I tend to see two extremes, however, upon deal failure: Share price settles at a decent premium to pre-takeover price due to hopes for another bid, or because investors take notice of highlighted intrinsic value.

Because your dollar amount remains constant, you'll be getting more shares for your money when stock prices fall and fewer shares when prices rise.