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Posted On: 03/26/2020 11:08:21 AM
Post# of 148918
bigO, I believe most of the increase in shares for sale has been attributable to warrant exercises. Some of it may be due to restricted (i.e., unable to be sold) shares now being unrestricted.
In either case, the shares (or right to claim shares, in the case of warrants), already existed, so we are not technically being diluted further. The one exception to this being the small recent raise that was 8K'd.
To your point, though, although there is a technical difference between dilution and an increase in the publicly-traded float (the former is not really occurring, the latter is occurring), they both can affect trading and the stock price. So from the standpoint of a shareholder interested in stock price short term (and who isn't?), they both feel about the same ...
FWIW, for dilution purposes, I have always been running all market cap/revenue/multiple/share price, etc. calculations based on an OS of 700M (i.e., the current ceiling), as I expect that's where we'll end up.
In either case, the shares (or right to claim shares, in the case of warrants), already existed, so we are not technically being diluted further. The one exception to this being the small recent raise that was 8K'd.
To your point, though, although there is a technical difference between dilution and an increase in the publicly-traded float (the former is not really occurring, the latter is occurring), they both can affect trading and the stock price. So from the standpoint of a shareholder interested in stock price short term (and who isn't?), they both feel about the same ...
FWIW, for dilution purposes, I have always been running all market cap/revenue/multiple/share price, etc. calculations based on an OS of 700M (i.e., the current ceiling), as I expect that's where we'll end up.
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