Regardless of the reported value of a stock option on the grant date, the actual value realized will depend on the excess, if any, of the market value of the Company's common
stock over the exercise price if and when the option is exercised.
Not exact matches
If those options were
exercised and the
stock was then sold at, say, $ 40, it would amount to a bonus of almost $ 330 million — the market price less the strike price, times the number of options granted — paid out to Siebel employees
over the next nine years.
The offering consisted of Tesla selling approximately $ 1.7 billion of new
stock while Musk
exercised stock options for
over 5.5 million shares that were set to expire on Dec. 3, 2016 and then sold nearly 2.8 million of those shares.
Upon
exercise of a
stock appreciation right, the holder of the award will be entitled to receive an amount determined by multiplying (i) the difference between the fair market value of a Share on the date of
exercise over the
exercise price by (ii) the number of
exercised Shares.
To the extent that in 2018 or any later year, the aggregate amount of any covered officer's salary, bonus, and amount realized from option
exercises and vesting of restricted
stock units or other equity awards, and certain other compensation amounts that are recognized as taxable income by the officer exceeds $ 1,000,000 in any year, we will not be entitled to a U.S. federal income tax deduction for the amount
over $ 1,000,000 in that year.
The options have an
exercise price of $ 15.80, the closing per share price of Yahoo
stock on Friday, giving them a current value of just
over $ 5 million.
In recognition of these achievements and to create incentives for future success, the Compensation Committee recommended, and the Board of Directors approved a grant to Mr. Musk of 10,067,960 options to purchase shares of our common
stock at an
exercise price of $ 2.21 per share representing 4 % of our fully - diluted share base as of December 4, 2009, with 1 / 4th of the shares subject to the option vesting immediately, and 1 / 48th of the shares subject to the option scheduled to vest each month thereafter
over the next three years, assuming Mr. Musk's continued service to us through each vesting date.
In the event of a change of control (as defined in the plan), the compensation committee may, in its discretion, provide for any or all of the following actions: (i) awards may be continued, assumed, or substituted with new rights, (ii) awards may be purchased for cash equal to the excess (if any) of the highest price per share of common
stock paid in the change in control transaction
over the aggregate
exercise price of such awards, (iii) outstanding and unexercised
stock options and
stock appreciation rights may be terminated, prior to the change in control (in which case holders of such unvested awards would be given notice and the opportunity to
exercise such awards), or (iv) vesting or lapse of restrictions may be accelerated.
terminate either (a) each outstanding option or (b) each outstanding option that is fully exercisable as of the date of such transaction, in exchange for a cash payment equal in amount to the excess, if any, of the fair market value, as determined by our board of directors, of a share of our common
stock over the per - share
exercise price of each such option, multiplied by the number of shares subject to each such option.
Often, companies use their retained earnings to «repurchase»
stock, which is then handed
over to employees as they
exercise their
stock options.
The issue is not simply whether
stock market indices should
exercise influence
over firm governance.
It's one thing to go through the academic
exercise of researching value, where the analysis is done
over very long periods of time, and a completely different thing to use Valuation to invest in
stocks every day.
A
stock appreciation right entitles the recipient to receive an amount equal to the excess of the fair market value of a share on the date of
exercise over the
exercise price thereof.
(gg) «
Stock Appreciation Right» or «SAR» means a right granted under Section 8 which entitles the recipient to receive an amount equal to the excess of the Fair Market Value of a Share on the date of
exercise of the
Stock Appreciation Right
over the
exercise price thereof on such terms and conditions as are specified in the agreement or other documents evidencing the Award (the «SAR Agreement»).
It's a tough thing to do: At the end of 1999, Synsorb Biotech (for example) had
over 1,000,000 outstanding
stock options, at
exercise prices ranging from $ 1 to
over $ 10.
According to this Form 4, Mr. Daly on April 2, 2007 had
over 494,140
stock options with average
exercise price of $ 17.89.
As a result, if you convert a traditional incentive
stock option (one that becomes exercisable
over a period of time) into an early
exercise stock option, you may end up with an option that exceeds the limit.
If the
stock price increases
over the
exercise price by more than the amount of the premium, the short will lose money, with the potential loss unlimited.
If the
stock is
over $ 50 on option expiration day then the person who bought your call option will
exercise it — meaning they will buy your
stock from you for $ 50 / share.
When we repeat this
exercise across current practitioners divided into five - year age cohorts from ages 25 to 70, the collective investment experience
over the 1970 — 2015 period reveals that nearly 90 % has lived through sustained periods of soaring
stock prices.
Henry Tippie serves as Chairman of the Board of Dover Motorsports, as well as controlling Trustee of RMT Trust (Dover's largest shareholder), and in these capacities
exercises control
over 54.4 % of the combined voting power of the two classes of the Company's common
stock.
Remember, though, the point of this
exercise isn't to shift your retirement savings around based on your (or someone else's) guess of how the
stock and bond markets are likely to perform
over the next year or so.
Finding inexpensive
stocks became a trying
exercise over the last of couple years, especially if you walked on the cautious side, and added a defensive criterion to your portfolio such as avoiding companies with significant exposure to consumer discretionary spending and the housing market.
Key input assumptions used to estimate the fair value of
stock options include the
exercise price of the award, the expected option term, the expected volatility of the Company's
stock over the option's expected term, the risk - free interest rate
over the option's expected term, and the Company's expected annual dividend yield.
The Compensation Committee, in its sole discretion, may grant
stock appreciation rights which allow the grantee to elect to receive upon the
exercise of the option shares of
stock with an aggregate fair market value equal to the excess of the fair market value of the shares of
stock with respect to which the option is
exercised over the aggregate
exercise price of the option as determined on the
exercise date.