Downside?, page-605

You only lose $2-3 if you sell.

In this case of WHC BB’s, it appears u only lose if u didn’t sell.

Teach me….the BB don’t go along with the theory that management believed its stock is undervalued.
Instead the market got that it was overvalued!

My understanding is the intention of the BB should send a message to the market that the stock is worth more or it least maintain near its peak value.

I have no trouble understanding that a stock drops approx the value of dividend paid out.

But it this case the BB’s had the reaction was similar to paying out a dividend.

It like the market is saying that the revenue or cash has been spent on some imaginary item.
Since the cash has be reduced the value of the company is worth less.