Sentences with phrase «share dilution»

"Share dilution" refers to the decrease in ownership percentage of existing shareholders when a company issues additional shares. This happens because the total number of outstanding shares increases, spreading the ownership across a larger base. Consequently, each existing shareholder's ownership stake becomes smaller, or diluted, which can affect their decision-making power and potential returns. Full definition
A reason to complain about buybacks is that the company is overpaying for the shares and / or doing it to offset share dilution from stock options.
This puts the stocks more at risk of share dilution as a result of possible new share offerings to raise cash.
We have included the following in our latest EPS projections: (1) Potential share dilution from past private placement financing: 105 million to a potential 133.5 million IHI shares outstanding.
While share dilutions happen in stock investing, they are not nearly as common or as significant as in start - up investing.
Lower price for a smaller portion of the same company is what you would expect in share dilution.
In recent years, gold miners have done a poor job delivering shareholder value due to the cost overruns and excessive share dilution that accompanied the rush to put production on stream.
This was yet another form of hidden leverage, which hid the unprofitability of enterprises through share dilution.
Consistent grower of revenue, net income and free cash flows while minimizing share dilution.
[Note: I suspect further Rasmala - related share dilution will be deferred into 2013 — I'll incorporate this, along with actual 2012 results, into another EIIB analysis at a later date].
I update my valuation regularly, anyway, so I expect to incorporate any actual share dilution at least once a quarter.
It promises share dilution, but what company doesn't these days?
The demand can be great enough to keep the shares at the same price, and investors may have already discounted shares on the idea of the company raising more capital via share dilution, so the outcome can result in the price going higher after the news event is over with.
This model accounts not only for income received by investors, but also captures growth from reinvested earnings and recognizes historically documented share dilution (i.e., the difference between new share issuances and buybacks).
So we'll ignore the issue for the moment — ideally, further proving up of reserves will be an integral part of the entire project plan, which would help to offset potential share dilution].
They recognize the geological uncertainty attached to all resource bodies, the possible political risks, the business risks, the multi - year / decade timescale, the significant capital / operating costs, the cash / debt / share dilution required to fund them, the volatility of commodity prices, etc..
In reality, it means share dilution, increased leverage, a return of capital, or simply an impairment of the company's growth prospects — or all of the above!
Additional important consideration: the CEO owns 20 % + of the outstanding shares and there has been very little share dilution over the years.
Of course, we've seen huge share dilution since, but my valuation approach (which focused primarily on Barryroe) would still suggest attractive upside potential from here.
Some companies may let share dilution occur, while other companies may reduce total shares to increase overall shareholder returns.
Representing a minority investor in a well - known Russian minerals exploration and production company in relation to worldwide litigation regarding share dilution.
If they opt to do the «direct listing» described by the WSJ, they would avoid paying fees to the underwriting banks and prevent further share dilution.
It seems that for most companaies, a share repurchase is little more than an expensive mop to soak up share dilution from executive stock options or other share - based compensation.
Disney also announced that it would buy back $ 10 billion of stock to offset the share dilution from the deal.
And if everything goes pear - shaped, share dilution's another negative, but you'll have bigger things to worry about..!
There are a couple of ways to issue said shares, but in the case of share dilution the existing share price typically goes down.
I'm sure enthusiastic shareholders will disagree (violently), but the numbers don't lie — it's obviously much easier to deliver strong revenue growth, if it's at the expense of margins, cash flow & share dilution... Momentum investors are the natural shareholder base for FDP, and the recent price reversal must be sorely testing them now.
The flipside is that the company issues new stocks («scrip dividends») leading — to some extent — to a share dilution.
Most never realize their potential — but if by chance they do, it's very clear a hell of lot of cash burn, debt, farm - outs & share dilution will be needed to get anywhere near 3P reserves.
Then you've got the accompanying debt or share dilution — at least you can depend on that..!
Presuming continued growth in sales, and maintenance / expansion of their 21.6 % operating margin, it's reasonable to assume this additional expense / share dilution can be absorbed.
This means that although the company managed to grow its earnings by an annualized 6 % per year over this ten year period, the EPS only grew by 4 % per year due to share dilution.
Most effective company managers will make smart decisions regarding share repurchases and share dilution.
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