The Stock Market Thread

Discussion in 'The Thunderdome' started by golfballs03, Oct 28, 2011.

  1. NorrisAlan

    NorrisAlan Founder of the Mike Honcho Fan Club

    I am sure they are using some money for that. But stock buybacks just seem to be counter productive to the company. You are buying back your investments. Who cares if there are 100 shares at 1 dollar or 50 shares at 2 dollars. You still have 100 dollars worth of stock.

    Note, these are honest questions. I know jack-shit about this stuff, but it just seems that your are buying back the stock for no reason.
     
  2. droski

    droski Traffic Criminal

    say your company is worth $1,000 and you have 20 shares of stock total. if the company buys back 10 shares of stock, only 10 shares are remaining. you've just increased the value per share from $50 to $100. shareholders like that. obviously that's a simplistic example. it's generally thought of something you do when you think your companies stock is undervalued. but sometimes people do it when it's not undervalued.
     
  3. JayVols

    JayVols Walleye Catchin' Moderator

    Have a simple explanation for stock splitting?
     
  4. dknash

    dknash Chieftain

    When two stocks love each other very much
     
    InVolNerable likes this.
  5. CardinalVol

    CardinalVol Uncultured, non-diverse mod

    Still feeling bullish dros?
     
  6. IP

    IP Super Moderator

    He may be busy.
     
  7. JayVols

    JayVols Walleye Catchin' Moderator

    Haha..

    Somehow I don't think that's it.
     
  8. CardinalVol

    CardinalVol Uncultured, non-diverse mod

    Time to short some banks!!!!!!!!!!!!!!
     
  9. JayVols

    JayVols Walleye Catchin' Moderator

    H jv v CD r sc ghj jc JC d rx ch ih

    Might as well be speaking that to me....
     
  10. droski

    droski Traffic Criminal

    Take one $20 bill and give yourself two $10 bills. It’s considered a bullish sign for the stock since it indicates management thinks the stock is going up, but Its pretty meaningless
     
  11. droski

    droski Traffic Criminal

    Yup. We’ve seen earnings up 24 percent with a flat to down market. Economic numbers are still trending positive
     
  12. fl0at_

    fl0at_ Humorless, asinine, joyless pr*ck

    Take Amazon. Currently trading at ~$1500 per share, depending on the hour.

    That’s a lot per share for some people, limits the number of people that can afford a share.

    Say it splits 1500:1. Now there are 1500 more shares, but each priced at $1.

    Lot of people can buy it, but it’s diluted. Everyone has 100 shares of Amazon.

    Splitting is an art. Reverse splitting is worse.
     
  13. fl0at_

    fl0at_ Humorless, asinine, joyless pr*ck

    I’m going to get called if this shit keeps up much longer.
     
  14. JayVols

    JayVols Walleye Catchin' Moderator

    Thanks. I understand more now than I did.
     
  15. JayVols

    JayVols Walleye Catchin' Moderator

    Oof. Just saw it's down almost 600 points.
     
  16. IP

    IP Super Moderator

    To do what? What is done to soften this sort of thing? Or do you just have to calm them down?
     
  17. JayVols

    JayVols Walleye Catchin' Moderator

    The S&P is at a 52 week low. Interest rates expected to be raised tomorrow.

    Ali Velshi just said folks well diversified have lost about 5% for the entire year.
     
  18. TennTradition

    TennTradition Super Moderator

    One way to spin is that you think your company is undervalued and by buying back the better return on those dollars is in your stock.
     
  19. droski

    droski Traffic Criminal

    international markets are getting killed. don't be surprised if the fed doesn't raise rates. inflation is very low. i'd actually be surprised to see it happen
     
  20. JayVols

    JayVols Walleye Catchin' Moderator

    I'll take your word on it. You're the expert. I'm just parroting what I heard.

    Hope you & your family have been well, my friend. It's been a while.
     
    droski likes this.

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