A company with a low stock price and low trading activity may wish to stimulate the market thru a stock issue?

Answers:2   |   LastUpdateAt:2021-06-09 21:03:38  

Question
unknown!
Asked at 2012-06-30 13:38:01
Yes or No?
Answer1CandiceAnswered at 2012-07-12 09:23:02
The issuance of additional shares that tend to devalue existing stock of the company , unless investors think that money will result in higher earnings per share of development or expansion. But no reason to think that things will get better, increased trade would be investors dumping their shares, which would tend to lower the price. So it can stimulate trade in stocks, but not necessarily in a good way.

Actually, not really know without more information. And even then, stock prices are not necessarily based on what is happening, but what investors "think" is happening or will happen in the future.
Answer2geometrydashAnswered at 2021-06-09 21:03:38

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