Apologies for my fundamental lack of understanding of how stocks are valued. It's a miracle that I fooled my various employers for so long.
Taking your example, the notional cap of the combined company would rise from $1bn to $2bn. But no value has been created as you have paid out $1bn in consideration. Reported EPS would however rise enormously. More than likely the PER would rises too as investors anticipate more earnings enhancing deals, so the share price gets a double boost. And the execs get a triple boost, as their SARs are linked to EPS growth! This is the magic sauce I was referring to.
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Last
$11.33 |
Change
-1.190(9.50%) |
Mkt cap ! $1.657B |
Open | High | Low | Value | Volume |
$12.50 | $12.68 | $11.31 | $29.62M | 2.546M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
1 | 648 | $11.33 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$11.41 | 588 | 2 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
5 | 1446 | 11.300 |
1 | 1000 | 11.290 |
1 | 100 | 11.270 |
3 | 2730 | 11.250 |
2 | 134 | 11.200 |
Price($) | Vol. | No. |
---|---|---|
11.590 | 500 | 1 |
11.750 | 2000 | 1 |
11.900 | 3000 | 1 |
11.980 | 1000 | 1 |
11.990 | 650 | 1 |
Last trade - 16.10pm 18/10/2024 (20 minute delay) ? |
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