(Total Views: 327)
Posted On: 10/17/2019 8:15:14 AM
Post# of 82686
From Investopedia:
Benefits of Increasing Capital Stock
Despite possible dilution of shares, increases in capital stock can ultimately be beneficial for investors. The increase in capital for the company raised by selling additional shares of stock can finance additional company growth. If the company invests the additional capital successfully, then the ultimate gains in stock price and dividend payouts realized by investors may be more than sufficient to compensate for the dilution of their shares.
It is a good sign to investors and analysts if a company can issue a significant amount of additional stock without seeing a significant drop in share price.
Ok (now my words)...SFOR is OUR company too, and we have a RIGHT to know more about the reasoning behind 12B authorized. I think we can get "general info from Kay," but as for financing and acquisition, I'll bet he won't say much. I'm guessing all of this is about doing a deal with DSS or possibly furthering it with ACS. We are all speculating, and it would be nice to know more since it is OUR company too.
Benefits of Increasing Capital Stock
Despite possible dilution of shares, increases in capital stock can ultimately be beneficial for investors. The increase in capital for the company raised by selling additional shares of stock can finance additional company growth. If the company invests the additional capital successfully, then the ultimate gains in stock price and dividend payouts realized by investors may be more than sufficient to compensate for the dilution of their shares.
It is a good sign to investors and analysts if a company can issue a significant amount of additional stock without seeing a significant drop in share price.
Ok (now my words)...SFOR is OUR company too, and we have a RIGHT to know more about the reasoning behind 12B authorized. I think we can get "general info from Kay," but as for financing and acquisition, I'll bet he won't say much. I'm guessing all of this is about doing a deal with DSS or possibly furthering it with ACS. We are all speculating, and it would be nice to know more since it is OUR company too.
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