Once you start asking why people are making these things happen, the news will become an examination of how companies respond to their competitors, how products evolve to meet the needs of customers, and how management creates or
destroys value for shareholders.
«A lot of M&A actually
destroys value for shareholders, not adds value... acquisitions are quite risky, they can be distracting, they have to be integrated effectively,» Sue Noffke, fund manager at Schroders said.
Not exact matches
We felt very certain that the overhang
for the stock
for that length of time would
destroy too much
shareholder value.»
- Unfortunately due to short term CEO appointments and mediocre Boards [mainly sitting there
for their fees and egos], the results are extremely poor direction and
shareholder value being
destroyed or going sideways.
Nevertheless, Bombardier illustrates everything wrong with multiple voting shares, a concept that makes it possible
for intransigent owners to
destroy shareholder value while leaving investors no way to push
for changes.
«It both significantly
destroys existing Clariant
shareholder value and prevents Clariant from pursuing multiple alternative and immediate opportunities to unlock
value for its
shareholders,» White Tale said last month.
It's hard to imagine these incentive structures didn't impact the decision of Men's Wearhouse to reject the lucrative buyout offer from Jos. A. Bank in favor of a much riskier and
value -
destroying deal
for shareholders.
In short, many of the widely held glamour companies in the market (and certainly the glamour technology companies) have diverted or
destroyed value that was supposedly being retained
for the benefit of
shareholders.
By inefficiently utilizing valuable capital to buy back stock at inflated prices, the company
destroyed value for long - term
shareholders.
For the long - term investor, GLUU is a company with no profits, moderate growth, and management that consistently
destroys shareholder value by diluting their equity.
To get a sense of how much
shareholder value Tesla is
destroying, let's look at some potential scenarios
for how much Tesla could improve SolarCity's business so that it generates some cash flow.
CEO Randall Stephenson's $ 85 bln offer
for Time Warner lacks strategic rationale, has politicians of all stripes criticizing it and has
destroyed shareholder value while denying owners a vote.
If a bit of bad news comes out about Brown - Forman, the stock could easily correct to a lower price - to - earnings multiple and remain there
for years —
destroying shareholder value in the process.
If
shareholders are to make most of their money through earnings growth and / or positive sentiment, then further excess return needs to be demanded to compensate
for potential of negative sentiment
destroying market
value faster than earnings growth can grow against.
Mark Fulton, Research Advisor to Carbon Tracker: «What our blueprint advances is a risk management process that tests
for what could be seen as an «orderly» energy transition and considers a «disorderly» one where change is abrupt, a so - called «black swan» event, that tests business models to the limit, potentially
destroying shareholder value in the process.»
«What our blueprint advances is a risk management process that tests
for what could be seen as an «orderly» energy transition and considers a «disorderly» one where change is abrupt, a so - called «black swan» event, that tests business models to the limit, potentially
destroying shareholder value in the process.»
«Should they be rewarded
for destroying $ 480 billion of potential
shareholder value?»