Day Gain | ||
Gain | ||
Market Val | ||
Costs | ||
Cash | ||
Portfolio | ||
Realized | ||
Dividend |
Date | For | Estimate | Reported | Surprise | surprise % |
---|---|---|---|---|---|
2024-10-29 | 2024-09 | 0.9 | N/A | N/A | N/A |
2024-07-31 | 2024-06 | 0.61 | 0.72 | 0.11 | 18.03% |
2024-05-06 | 2024-03 | 0.56 | 0.45 | -0.11 | -19.64% |
2024-05-06 | 2024-03 | 0.56 | N/A | N/A | N/A |
2024-02-22 | 2023-12 | 0.56 | 0.39 | -0.17 | -30.36% |
2024-02-22 | 2023-12 | 0.56 | N/A | N/A | N/A |
Date | Firm | Action | From | To |
---|---|---|---|---|
2023-08-10 | Citigroup | Upgrade | Buy | Buy |
2023-08-06 | Barclays | Upgrade | Overweight | Overweight |
2023-07-04 | Citigroup | Upgrade | Buy | |
2023-07-04 | Citigroup | Upgrade | Buy | |
2023-06-19 | Benchmark | Upgrade | Buy | Buy |
2023-02-27 | Benchmark | Upgrade | Buy |
Date | Name | Relation | Quantity | Description |
---|---|---|---|---|
2024-03-10 | ALTING CAROLINE | Officer | 0.00 | Sale |
2024-03-20 | BARKER RICHARD B | Chief Financial Officer | 241.34K | Purchase |
2024-02-04 | DENTON BLAKE | Officer | 113.21K | Conversion of Exercise of derivative security |
2024-02-04 | EIFLER ROBERT W | Chief Executive Officer | 1.07M | Conversion of Exercise of derivative security |
2024-02-01 | HEMMINGSEN CLAUS V | Director | 13.07K | Conversion of Exercise of derivative security |
2024-02-01 | HOLTH KRISTIN H | Director | 5.77K | Conversion of Exercise of derivative security |
Report Date | Organization | Position | Value | Percentage |
---|---|---|---|---|
2023-06-29 | Vanguard Group Inc | 10.88M | 449.53M | 7.94% |
2023-06-29 | Blackrock Inc. | 7.30M | 301.74M | 5.33% |
2023-06-29 | Orbis Allan Gray Ltd | 3.80M | 157.05M | 2.77% |
2023-06-29 | ClearBridge Investments, LLC | 2.99M | 123.40M | 2.18% |
2023-06-29 | Elliott Investment Management L.p. | 2.85M | 117.73M | 2.08% |
2023-06-29 | State Street Corporation | 2.45M | 101.07M | 1.78% |
Report Date | Organization | Position | Value | Percentage |
---|---|---|---|---|
2023-06-29 | Vanguard Total Stock Market Index Fund | 3.55M | 146.49M | 2.59% |
2023-06-29 | Vanguard Small-Cap Index Fund | 2.86M | 118.28M | 2.09% |
2023-08-30 | iShares Russell 2000 ETF | 2.45M | 129.42M | 1.79% |
2023-09-29 | New Economy Fund (The) | 2.31M | 116.90M | 1.68% |
2023-09-29 | VanEck ETF Trust-VanEck Oil Services ETF | 2.23M | 112.91M | 1.63% |
2023-06-29 | Vanguard Small-Cap Growth Index Fund | 1.64M | 67.74M | 1.20% |
Dividend | Date |
---|---|
0.5 | 2024-09-12 |
0.4 | 2024-06-06 |
0.4 | 2024-03-07 |
0.4 | 2023-11-14 |
0.3 | 2023-08-17 |
0.3 | 2023-08-16 |
Split | Date |
---|---|
1144 : 1000 | 2014-08-04 |
2 : 1 | 2007-08-29 |
-
NEW regular market order (app wont let me post screenshots):
Order Number VVM-3045
Account -* -**
Action Sell short
Symbol NE
Quantity 9,500,000
Order type Market
Duration Good Until Canceled
Trade date 06/07/2020 12:50PM
Order status Open -
Here you go, PUMPERS. It is time to set the record straight. If you think this is going up, you are sadly mistaken.
[WARNING: It is bad - VERY BAD]
*https://www.sec.gov/Archives/edgar/data/1458891/000119312520043132/d891440dposasr.htm
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
POST-EFFECTIVE AMENDMENT NO. 1
TO
FORM S-3
REGISTRATION STATEMENT
UNDER
THE SECURITIES ACT OF 1933
NOBLE CORPORATION plc
(Exact name of registrant as specified in its charter)England and Wales (Registered
Number 08354954) 98-0619597
(State or other jurisdiction of
incorporation or organization) (I.R.S. Employer
Identification Number)
10 Brook Street, London,
England, W1S 1BG
+44 20 3300 2300
(Address, including zip code, and telephone number, including area code, of registrant’s principal executive offices)
William E. Turcotte
Senior Vice President, General Counsel and Corporate Secretary
Noble Corporation plc
13135 South Dairy Ashford
Sugar Land, Texas 77478
(281) 276-6100
(Name, address, including zip code, and telephone number, including area code, of agent for service)
With a copy to:
David L. Emmons
Natasha S. Khan
Baker Botts L.L.P.
910 Louisiana Street
Houston, Texas 77002
Approximate date of commencement of proposed sale to the public: From time to time after this Registration Statement becomes effective.
If the only securities being registered on this Form are being offered pursuant to dividend or interest reinvestment plans, please check the following box. ☐
If any of the securities being registered on this Form are to be offered on a delayed or continuous basis pursuant to Rule 415 under the Securities Act of 1933, other than securities offered only in connection with dividend or interest reinvestment plans, check the following box. ☒There is being registered hereunder for sale by the registrant such indeterminate number or amount of the securities of each identified class as shall have an aggregate offering price not to exceed $750,000,000.
-
Stock dilution, also known as equity dilution, is the decrease in existing shareholders' ownership percentage of a company as a result of the company issuing new equity.[1] New equity increases the total shares outstanding which has a dilutive effect on the ownership percentage of existing shareholders. This increase in the number of shares outstanding can result from a primary market offering (including an initial public offering), employees exercising stock options, or by issuance or conversion of convertible bonds, preferred shares or warrants into stock. This dilution can shift fundamental positions of the stock such as ownership percentage, voting control, earnings per share, and the value of individual shares.
Control dilution Edit
Control dilution describes the reduction in ownership percentage or loss of a controlling share of an investment's stock. Many venture capital contracts contain an anti-dilution provision in favor of the original investors, to protect their equity investments. One way to raise new equity without diluting voting control is to give warrants to all the existing shareholders equally. They can choose to put more money in the company, or else lose ownership percentage. When employee options threaten to dilute the ownership of a control group, the company can use cash to buy back the shares issued.
The measurement of this percent dilution is made at a point in time. It will change as market values change and cannot be interpreted as a "measure of the impact of" dilutions.
Presume that all convertible securities are convertible at the date.
Add up the number of new shares that will be issued as a result.
Add up the proceeds that would be received on these conversions and issues (The reduction of debt is a 'proceed').
Divide the total proceeds by the current market price of the stock to determine the number of shares the proceeds can buyback.
Subtract the number bought-back from the new shares originally issued
Divide the net increase in shares by the starting # shares outstanding.
Earnings dilution EditEarnings dilution describes the reduction in amount earned per share in an investment due to an increase in the total number of shares. The calculation of earnings dilutions derives from this same process as control dilution. The net increase in shares (steps 1-5) is determined at the beginning of the reporting period, and added to the beginning number of shares outstanding. The net income for the period is divided by this increased number of shares. Notice that the conversion rates are determined by market values at the beginning, not the period end. The returns to be realized on the reinvestment of the proceeds are not part of this calculation.
Value dilution Edit
Value dilution describes the reduction in the current price of a stock due to the increase in the number of shares. This generally occurs when shares are issued in exchange for the purchase of a business, and incremental income from the new business must be at least the return on equity (ROE) of the old business. When the purchase price includes goodwill, this becomes a higher hurdle to clear.
The theoretical diluted price, i.e. the price after an increase in the number of shares, can be calculated as:
Theoretical Diluted Price =
(
O
×
O
P
)
+
(
N
×
I
P
)
O
+
N
{\frac {(O\times OP)+(N\times IP)}{O+N}}
Where:O = original number of shares
OP = Current share price
N = number of new shares to be issued
IP = issue price of new shares
For example, if there is a 3-for-10 issue, the current price is $0.50, the issue price $0.32, we haveO = 10, OP = $0.50, N = 3, IP = $0.32, and
TDP = ((10 × 0.50) + (3 × 0.32)) / (10 + 3) = $0.4585
Owners' share of the underlying business Edit
If the new shares are issued for proceeds at least equal to the pre-existing price of a share, then there is no negative dilution in the amount recoverable. The old owners just own a smaller piece of a bigger company. However, voting rights at stockholder meetings are decreased.But, if new shares are issued for proceeds below or equal to the pre-existing price of a share, then stock holders have the opportunity to maintain their current voting power without losing net worth.
Market value of the business Edit
Frequently the market value for shares will be higher than the book value. Investors will not receive full value unless the proceeds equal the market value. When this shortfall is triggered by the exercise of employee stock options, it is a measure of wage expense. When new shares are issued at full value, the excess of the market value over the book value is a kind of internalized capital gain for the investor. He is in the same position as if he sold the same % interest in the secondary market.Assuming that markets are efficient, the market price of a stock will reflect these evaluations, but with the increase in shareholder equity 'management' and prevalence of barter transactions involving equity, this assumption may be stretched.
Preferred share conversions are usually done on a dollar-for-dollar basis. $1,000 face value of preferreds will be exchanged for $1,000 worth of common shares (at market value). As the common shares increase in value, the preferreds will dilute them less (in terms of percent-ownership), and vice versa. In terms of value dilution, there will be none from the point of view of the shareholder. Since most shareholders are invested in the belief the stock price will increase, this is not a problem.
When the stock price declines because of some bad news, the company's next report will have to measure, not only the financial results of the bad news, but also the increase in the dilution percentage. This exacerbates the problem and increases the downward pressure on the stock, increasing dilution. Some financing vehicles are structured to augment this process by redefining the conversion factor as the stock price declines, thus leading to a "death spiral".
Impact of options and warrants dilution Edit
Options and warrants are converted at pre-defined rates. As the stock price increases, their value increases dollar-for-dollar. If the stock is valued at a stable price-to-earnings ratio (P/E) it can be predicted that the options' rate of increase in value will be 20 times (when P/E=20) the rate of increase in earnings. The calculation of "what percentage share of future earnings increases goes to the holders of options instead of shareholders?" is[2][unreliable source?]
(in-the-money options outstanding as % total) × (P/E ratio) = % future earnings accrue to option holders
For example, if the options outstanding equals 5% of the issued shares and the P/E=20, then 95% (= 5/105*20) of any increase in earnings goes, not to the shareholders, but to the options holders.Share dilution scams Edit
A share dilution scam happens when a company, typically traded in unregulated markets such as the OTC Bulletin Board and the Pink Sheets, repeatedly issues a massive number of shares into the market (using follow-on offerings) for no particular reason, considerably devaluing share prices until they become almost worthless, causing huge losses to shareholders.
Then, after share prices are at or near the minimum price a stock can trade and the share float has increased to an unsustainable level, those fraudulent companies tend to reverse split and continue repeating the same scheme
-
Stock dilution, also known as equity dilution, is the decrease in existing shareholders' ownership percentage of a company as a result of the company issuing new equity.[1] New equity increases the total shares outstanding which has a dilutive effect on the ownership percentage of existing shareholders. This increase in the number of shares outstanding can result from a primary market offering (including an initial public offering), employees exercising stock options, or by issuance or conversion of convertible bonds, preferred shares or warrants into stock. This dilution can shift fundamental positions of the stock such as ownership percentage, voting control, earnings per share, and the value of individual shares.
Control dilution Edit
Control dilution describes the reduction in ownership percentage or loss of a controlling share of an investment's stock. Many venture capital contracts contain an anti-dilution provision in favor of the original investors, to protect their equity investments. One way to raise new equity without diluting voting control is to give warrants to all the existing shareholders equally. They can choose to put more money in the company, or else lose ownership percentage. When employee options threaten to dilute the ownership of a control group, the company can use cash to buy back the shares issued.
The measurement of this percent dilution is made at a point in time. It will change as market values change and cannot be interpreted as a "measure of the impact of" dilutions.
Presume that all convertible securities are convertible at the date.
Add up the number of new shares that will be issued as a result.
Add up the proceeds that would be received on these conversions and issues (The reduction of debt is a 'proceed').
Divide the total proceeds by the current market price of the stock to determine the number of shares the proceeds can buyback.
Subtract the number bought-back from the new shares originally issued
Divide the net increase in shares by the starting # shares outstanding.
Earnings dilution EditEarnings dilution describes the reduction in amount earned per share in an investment due to an increase in the total number of shares. The calculation of earnings dilutions derives from this same process as control dilution. The net increase in shares (steps 1-5) is determined at the beginning of the reporting period, and added to the beginning number of shares outstanding. The net income for the period is divided by this increased number of shares. Notice that the conversion rates are determined by market values at the beginning, not the period end. The returns to be realized on the reinvestment of the proceeds are not part of this calculation.
Value dilution Edit
Value dilution describes the reduction in the current price of a stock due to the increase in the number of shares. This generally occurs when shares are issued in exchange for the purchase of a business, and incremental income from the new business must be at least the return on equity (ROE) of the old business. When the purchase price includes goodwill, this becomes a higher hurdle to clear.
The theoretical diluted price, i.e. the price after an increase in the number of shares, can be calculated as:
Theoretical Diluted Price =
(
O
×
O
P
)
+
(
N
×
I
P
)
O
+
N
{\frac {(O\times OP)+(N\times IP)}{O+N}}
Where:O = original number of shares
OP = Current share price
N = number of new shares to be issued
IP = issue price of new shares
For example, if there is a 3-for-10 issue, the current price is $0.50, the issue price $0.32, we haveO = 10, OP = $0.50, N = 3, IP = $0.32, and
TDP = ((10 × 0.50) + (3 × 0.32)) / (10 + 3) = $0.4585
Owners' share of the underlying business Edit
If the new shares are issued for proceeds at least equal to the pre-existing price of a share, then there is no negative dilution in the amount recoverable. The old owners just own a smaller piece of a bigger company. However, voting rights at stockholder meetings are decreased.But, if new shares are issued for proceeds below or equal to the pre-existing price of a share, then stock holders have the opportunity to maintain their current voting power without losing net worth.
Market value of the business Edit
Frequently the market value for shares will be higher than the book value. Investors will not receive full value unless the proceeds equal the market value. When this shortfall is triggered by the exercise of employee stock options, it is a measure of wage expense. When new shares are issued at full value, the excess of the market value over the book value is a kind of internalized capital gain for the investor. He is in the same position as if he sold the same % interest in the secondary market.Assuming that markets are efficient, the market price of a stock will reflect these evaluations, but with the increase in shareholder equity 'management' and prevalence of barter transactions involving equity, this assumption may be stretched.
Preferred share conversions are usually done on a dollar-for-dollar basis. $1,000 face value of preferreds will be exchanged for $1,000 worth of common shares (at market value). As the common shares increase in value, the preferreds will dilute them less (in terms of percent-ownership), and vice versa. In terms of value dilution, there will be none from the point of view of the shareholder. Since most shareholders are invested in the belief the stock price will increase, this is not a problem.
When the stock price declines because of some bad news, the company's next report will have to measure, not only the financial results of the bad news, but also the increase in the dilution percentage. This exacerbates the problem and increases the downward pressure on the stock, increasing dilution. Some financing vehicles are structured to augment this process by redefining the conversion factor as the stock price declines, thus leading to a "death spiral".
Impact of options and warrants dilution Edit
Options and warrants are converted at pre-defined rates. As the stock price increases, their value increases dollar-for-dollar. If the stock is valued at a stable price-to-earnings ratio (P/E) it can be predicted that the options' rate of increase in value will be 20 times (when P/E=20) the rate of increase in earnings. The calculation of "what percentage share of future earnings increases goes to the holders of options instead of shareholders?" is[2][unreliable source?]
(in-the-money options outstanding as % total) × (P/E ratio) = % future earnings accrue to option holders
For example, if the options outstanding equals 5% of the issued shares and the P/E=20, then 95% (= 5/105*20) of any increase in earnings goes, not to the shareholders, but to the options holders.Share dilution scams Edit
A share dilution scam happens when a company, typically traded in unregulated markets such as the OTC Bulletin Board and the Pink Sheets, repeatedly issues a massive number of shares into the market (using follow-on offerings) for no particular reason, considerably devaluing share prices until they become almost worthless, causing huge losses to shareholders.
Then, after share prices are at or near the minimum price a stock can trade and the share float has increased to an unsustainable level, those fraudulent companies tend to reverse split and continue repeating the same scheme
-
Stock dilution, also known as equity dilution, is the decrease in existing shareholders' ownership percentage of a company as a result of the company issuing new equity.[1] New equity increases the total shares outstanding which has a dilutive effect on the ownership percentage of existing shareholders. This increase in the number of shares outstanding can result from a primary market offering (including an initial public offering), employees exercising stock options, or by issuance or conversion of convertible bonds, preferred shares or warrants into stock. This dilution can shift fundamental positions of the stock such as ownership percentage, voting control, earnings per share, and the value of individual shares.
Control dilution Edit
Control dilution describes the reduction in ownership percentage or loss of a controlling share of an investment's stock. Many venture capital contracts contain an anti-dilution provision in favor of the original investors, to protect their equity investments. One way to raise new equity without diluting voting control is to give warrants to all the existing shareholders equally. They can choose to put more money in the company, or else lose ownership percentage. When employee options threaten to dilute the ownership of a control group, the company can use cash to buy back the shares issued.
The measurement of this percent dilution is made at a point in time. It will change as market values change and cannot be interpreted as a "measure of the impact of" dilutions.
Presume that all convertible securities are convertible at the date.
Add up the number of new shares that will be issued as a result.
Add up the proceeds that would be received on these conversions and issues (The reduction of debt is a 'proceed').
Divide the total proceeds by the current market price of the stock to determine the number of shares the proceeds can buyback.
Subtract the number bought-back from the new shares originally issued
Divide the net increase in shares by the starting # shares outstanding.
Earnings dilution EditEarnings dilution describes the reduction in amount earned per share in an investment due to an increase in the total number of shares. The calculation of earnings dilutions derives from this same process as control dilution. The net increase in shares (steps 1-5) is determined at the beginning of the reporting period, and added to the beginning number of shares outstanding. The net income for the period is divided by this increased number of shares. Notice that the conversion rates are determined by market values at the beginning, not the period end. The returns to be realized on the reinvestment of the proceeds are not part of this calculation.
Value dilution Edit
Value dilution describes the reduction in the current price of a stock due to the increase in the number of shares. This generally occurs when shares are issued in exchange for the purchase of a business, and incremental income from the new business must be at least the return on equity (ROE) of the old business. When the purchase price includes goodwill, this becomes a higher hurdle to clear.
The theoretical diluted price, i.e. the price after an increase in the number of shares, can be calculated as:
Theoretical Diluted Price =
(
O
×
O
P
)
+
(
N
×
I
P
)
O
+
N
{\frac {(O\times OP)+(N\times IP)}{O+N}}
Where:O = original number of shares
OP = Current share price
N = number of new shares to be issued
IP = issue price of new shares
For example, if there is a 3-for-10 issue, the current price is $0.50, the issue price $0.32, we haveO = 10, OP = $0.50, N = 3, IP = $0.32, and
TDP = ((10 × 0.50) + (3 × 0.32)) / (10 + 3) = $0.4585
Owners' share of the underlying business Edit
If the new shares are issued for proceeds at least equal to the pre-existing price of a share, then there is no negative dilution in the amount recoverable. The old owners just own a smaller piece of a bigger company. However, voting rights at stockholder meetings are decreased.But, if new shares are issued for proceeds below or equal to the pre-existing price of a share, then stock holders have the opportunity to maintain their current voting power without losing net worth.
Market value of the business Edit
Frequently the market value for shares will be higher than the book value. Investors will not receive full value unless the proceeds equal the market value. When this shortfall is triggered by the exercise of employee stock options, it is a measure of wage expense. When new shares are issued at full value, the excess of the market value over the book value is a kind of internalized capital gain for the investor. He is in the same position as if he sold the same % interest in the secondary market.Assuming that markets are efficient, the market price of a stock will reflect these evaluations, but with the increase in shareholder equity 'management' and prevalence of barter transactions involving equity, this assumption may be stretched.
Preferred share conversions are usually done on a dollar-for-dollar basis. $1,000 face value of preferreds will be exchanged for $1,000 worth of common shares (at market value). As the common shares increase in value, the preferreds will dilute them less (in terms of percent-ownership), and vice versa. In terms of value dilution, there will be none from the point of view of the shareholder. Since most shareholders are invested in the belief the stock price will increase, this is not a problem.
When the stock price declines because of some bad news, the company's next report will have to measure, not only the financial results of the bad news, but also the increase in the dilution percentage. This exacerbates the problem and increases the downward pressure on the stock, increasing dilution. Some financing vehicles are structured to augment this process by redefining the conversion factor as the stock price declines, thus leading to a "death spiral".
Impact of options and warrants dilution Edit
Options and warrants are converted at pre-defined rates. As the stock price increases, their value increases dollar-for-dollar. If the stock is valued at a stable price-to-earnings ratio (P/E) it can be predicted that the options' rate of increase in value will be 20 times (when P/E=20) the rate of increase in earnings. The calculation of "what percentage share of future earnings increases goes to the holders of options instead of shareholders?" is[2][unreliable source?]
(in-the-money options outstanding as % total) × (P/E ratio) = % future earnings accrue to option holders
For example, if the options outstanding equals 5% of the issued shares and the P/E=20, then 95% (= 5/105*20) of any increase in earnings goes, not to the shareholders, but to the options holders.Share dilution scams Edit
A share dilution scam happens when a company, typically traded in unregulated markets such as the OTC Bulletin Board and the Pink Sheets, repeatedly issues a massive number of shares into the market (using follow-on offerings) for no particular reason, considerably devaluing share prices until they become almost worthless, causing huge losses to shareholders.
Then, after share prices are at or near the minimum price a stock can trade and the share float has increased to an unsustainable level, those fraudulent companies tend to reverse split and continue repeating the same scheme
-
Stock dilution, also known as equity dilution, is the decrease in existing shareholders' ownership percentage of a company as a result of the company issuing new equity.[1] New equity increases the total shares outstanding which has a dilutive effect on the ownership percentage of existing shareholders. This increase in the number of shares outstanding can result from a primary market offering (including an initial public offering), employees exercising stock options, or by issuance or conversion of convertible bonds, preferred shares or warrants into stock. This dilution can shift fundamental positions of the stock such as ownership percentage, voting control, earnings per share, and the value of individual shares.
Control dilution Edit
Control dilution describes the reduction in ownership percentage or loss of a controlling share of an investment's stock. Many venture capital contracts contain an anti-dilution provision in favor of the original investors, to protect their equity investments. One way to raise new equity without diluting voting control is to give warrants to all the existing shareholders equally. They can choose to put more money in the company, or else lose ownership percentage. When employee options threaten to dilute the ownership of a control group, the company can use cash to buy back the shares issued.
The measurement of this percent dilution is made at a point in time. It will change as market values change and cannot be interpreted as a "measure of the impact of" dilutions.
Presume that all convertible securities are convertible at the date.
Add up the number of new shares that will be issued as a result.
Add up the proceeds that would be received on these conversions and issues (The reduction of debt is a 'proceed').
Divide the total proceeds by the current market price of the stock to determine the number of shares the proceeds can buyback.
Subtract the number bought-back from the new shares originally issued
Divide the net increase in shares by the starting # shares outstanding.
Earnings dilution EditEarnings dilution describes the reduction in amount earned per share in an investment due to an increase in the total number of shares. The calculation of earnings dilutions derives from this same process as control dilution. The net increase in shares (steps 1-5) is determined at the beginning of the reporting period, and added to the beginning number of shares outstanding. The net income for the period is divided by this increased number of shares. Notice that the conversion rates are determined by market values at the beginning, not the period end. The returns to be realized on the reinvestment of the proceeds are not part of this calculation.
Value dilution Edit
Value dilution describes the reduction in the current price of a stock due to the increase in the number of shares. This generally occurs when shares are issued in exchange for the purchase of a business, and incremental income from the new business must be at least the return on equity (ROE) of the old business. When the purchase price includes goodwill, this becomes a higher hurdle to clear.
The theoretical diluted price, i.e. the price after an increase in the number of shares, can be calculated as:
Theoretical Diluted Price =
(
O
×
O
P
)
+
(
N
×
I
P
)
O
+
N
{\frac {(O\times OP)+(N\times IP)}{O+N}}
Where:O = original number of shares
OP = Current share price
N = number of new shares to be issued
IP = issue price of new shares
For example, if there is a 3-for-10 issue, the current price is $0.50, the issue price $0.32, we haveO = 10, OP = $0.50, N = 3, IP = $0.32, and
TDP = ((10 × 0.50) + (3 × 0.32)) / (10 + 3) = $0.4585
Owners' share of the underlying business Edit
If the new shares are issued for proceeds at least equal to the pre-existing price of a share, then there is no negative dilution in the amount recoverable. The old owners just own a smaller piece of a bigger company. However, voting rights at stockholder meetings are decreased.But, if new shares are issued for proceeds below or equal to the pre-existing price of a share, then stock holders have the opportunity to maintain their current voting power without losing net worth.
Market value of the business Edit
Frequently the market value for shares will be higher than the book value. Investors will not receive full value unless the proceeds equal the market value. When this shortfall is triggered by the exercise of employee stock options, it is a measure of wage expense. When new shares are issued at full value, the excess of the market value over the book value is a kind of internalized capital gain for the investor. He is in the same position as if he sold the same % interest in the secondary market.Assuming that markets are efficient, the market price of a stock will reflect these evaluations, but with the increase in shareholder equity 'management' and prevalence of barter transactions involving equity, this assumption may be stretched.
Preferred share conversions are usually done on a dollar-for-dollar basis. $1,000 face value of preferreds will be exchanged for $1,000 worth of common shares (at market value). As the common shares increase in value, the preferreds will dilute them less (in terms of percent-ownership), and vice versa. In terms of value dilution, there will be none from the point of view of the shareholder. Since most shareholders are invested in the belief the stock price will increase, this is not a problem.
When the stock price declines because of some bad news, the company's next report will have to measure, not only the financial results of the bad news, but also the increase in the dilution percentage. This exacerbates the problem and increases the downward pressure on the stock, increasing dilution. Some financing vehicles are structured to augment this process by redefining the conversion factor as the stock price declines, thus leading to a "death spiral".
Impact of options and warrants dilution Edit
Options and warrants are converted at pre-defined rates. As the stock price increases, their value increases dollar-for-dollar. If the stock is valued at a stable price-to-earnings ratio (P/E) it can be predicted that the options' rate of increase in value will be 20 times (when P/E=20) the rate of increase in earnings. The calculation of "what percentage share of future earnings increases goes to the holders of options instead of shareholders?" is[2][unreliable source?]
(in-the-money options outstanding as % total) × (P/E ratio) = % future earnings accrue to option holders
For example, if the options outstanding equals 5% of the issued shares and the P/E=20, then 95% (= 5/105*20) of any increase in earnings goes, not to the shareholders, but to the options holders.Share dilution scams Edit
A share dilution scam happens when a company, typically traded in unregulated markets such as the OTC Bulletin Board and the Pink Sheets, repeatedly issues a massive number of shares into the market (using follow-on offerings) for no particular reason, considerably devaluing share prices until they become almost worthless, causing huge losses to shareholders.
Then, after share prices are at or near the minimum price a stock can trade and the share float has increased to an unsustainable level, those fraudulent companies tend to reverse split and continue repeating the same scheme
-
Stock dilution, also known as equity dilution, is the decrease in existing shareholders' ownership percentage of a company as a result of the company issuing new equity.[1] New equity increases the total shares outstanding which has a dilutive effect on the ownership percentage of existing shareholders. This increase in the number of shares outstanding can result from a primary market offering (including an initial public offering), employees exercising stock options, or by issuance or conversion of convertible bonds, preferred shares or warrants into stock. This dilution can shift fundamental positions of the stock such as ownership percentage, voting control, earnings per share, and the value of individual shares.
Control dilution Edit
Control dilution describes the reduction in ownership percentage or loss of a controlling share of an investment's stock. Many venture capital contracts contain an anti-dilution provision in favor of the original investors, to protect their equity investments. One way to raise new equity without diluting voting control is to give warrants to all the existing shareholders equally. They can choose to put more money in the company, or else lose ownership percentage. When employee options threaten to dilute the ownership of a control group, the company can use cash to buy back the shares issued.
The measurement of this percent dilution is made at a point in time. It will change as market values change and cannot be interpreted as a "measure of the impact of" dilutions.
Presume that all convertible securities are convertible at the date.
Add up the number of new shares that will be issued as a result.
Add up the proceeds that would be received on these conversions and issues (The reduction of debt is a 'proceed').
Divide the total proceeds by the current market price of the stock to determine the number of shares the proceeds can buyback.
Subtract the number bought-back from the new shares originally issued
Divide the net increase in shares by the starting # shares outstanding.
Earnings dilution EditEarnings dilution describes the reduction in amount earned per share in an investment due to an increase in the total number of shares. The calculation of earnings dilutions derives from this same process as control dilution. The net increase in shares (steps 1-5) is determined at the beginning of the reporting period, and added to the beginning number of shares outstanding. The net income for the period is divided by this increased number of shares. Notice that the conversion rates are determined by market values at the beginning, not the period end. The returns to be realized on the reinvestment of the proceeds are not part of this calculation.
Value dilution Edit
Value dilution describes the reduction in the current price of a stock due to the increase in the number of shares. This generally occurs when shares are issued in exchange for the purchase of a business, and incremental income from the new business must be at least the return on equity (ROE) of the old business. When the purchase price includes goodwill, this becomes a higher hurdle to clear.
The theoretical diluted price, i.e. the price after an increase in the number of shares, can be calculated as:
Theoretical Diluted Price =
(
O
×
O
P
)
+
(
N
×
I
P
)
O
+
N
{\frac {(O\times OP)+(N\times IP)}{O+N}}
Where:O = original number of shares
OP = Current share price
N = number of new shares to be issued
IP = issue price of new shares
For example, if there is a 3-for-10 issue, the current price is $0.50, the issue price $0.32, we haveO = 10, OP = $0.50, N = 3, IP = $0.32, and
TDP = ((10 × 0.50) + (3 × 0.32)) / (10 + 3) = $0.4585
Owners' share of the underlying business Edit
If the new shares are issued for proceeds at least equal to the pre-existing price of a share, then there is no negative dilution in the amount recoverable. The old owners just own a smaller piece of a bigger company. However, voting rights at stockholder meetings are decreased.But, if new shares are issued for proceeds below or equal to the pre-existing price of a share, then stock holders have the opportunity to maintain their current voting power without losing net worth.
Market value of the business Edit
Frequently the market value for shares will be higher than the book value. Investors will not receive full value unless the proceeds equal the market value. When this shortfall is triggered by the exercise of employee stock options, it is a measure of wage expense. When new shares are issued at full value, the excess of the market value over the book value is a kind of internalized capital gain for the investor. He is in the same position as if he sold the same % interest in the secondary market.Assuming that markets are efficient, the market price of a stock will reflect these evaluations, but with the increase in shareholder equity 'management' and prevalence of barter transactions involving equity, this assumption may be stretched.
Preferred share conversions are usually done on a dollar-for-dollar basis. $1,000 face value of preferreds will be exchanged for $1,000 worth of common shares (at market value). As the common shares increase in value, the preferreds will dilute them less (in terms of percent-ownership), and vice versa. In terms of value dilution, there will be none from the point of view of the shareholder. Since most shareholders are invested in the belief the stock price will increase, this is not a problem.
When the stock price declines because of some bad news, the company's next report will have to measure, not only the financial results of the bad news, but also the increase in the dilution percentage. This exacerbates the problem and increases the downward pressure on the stock, increasing dilution. Some financing vehicles are structured to augment this process by redefining the conversion factor as the stock price declines, thus leading to a "death spiral".
Impact of options and warrants dilution Edit
Options and warrants are converted at pre-defined rates. As the stock price increases, their value increases dollar-for-dollar. If the stock is valued at a stable price-to-earnings ratio (P/E) it can be predicted that the options' rate of increase in value will be 20 times (when P/E=20) the rate of increase in earnings. The calculation of "what percentage share of future earnings increases goes to the holders of options instead of shareholders?" is[2][unreliable source?]
(in-the-money options outstanding as % total) × (P/E ratio) = % future earnings accrue to option holders
For example, if the options outstanding equals 5% of the issued shares and the P/E=20, then 95% (= 5/105*20) of any increase in earnings goes, not to the shareholders, but to the options holders.Share dilution scams Edit
A share dilution scam happens when a company, typically traded in unregulated markets such as the OTC Bulletin Board and the Pink Sheets, repeatedly issues a massive number of shares into the market (using follow-on offerings) for no particular reason, considerably devaluing share prices until they become almost worthless, causing huge losses to shareholders.
Then, after share prices are at or near the minimum price a stock can trade and the share float has increased to an unsustainable level, those fraudulent companies tend to reverse split and continue repeating the same scheme
-
Stock dilution, also known as equity dilution, is the decrease in existing shareholders' ownership percentage of a company as a result of the company issuing new equity.[1] New equity increases the total shares outstanding which has a dilutive effect on the ownership percentage of existing shareholders. This increase in the number of shares outstanding can result from a primary market offering (including an initial public offering), employees exercising stock options, or by issuance or conversion of convertible bonds, preferred shares or warrants into stock. This dilution can shift fundamental positions of the stock such as ownership percentage, voting control, earnings per share, and the value of individual shares.
Control dilution Edit
Control dilution describes the reduction in ownership percentage or loss of a controlling share of an investment's stock. Many venture capital contracts contain an anti-dilution provision in favor of the original investors, to protect their equity investments. One way to raise new equity without diluting voting control is to give warrants to all the existing shareholders equally. They can choose to put more money in the company, or else lose ownership percentage. When employee options threaten to dilute the ownership of a control group, the company can use cash to buy back the shares issued.
The measurement of this percent dilution is made at a point in time. It will change as market values change and cannot be interpreted as a "measure of the impact of" dilutions.
Presume that all convertible securities are convertible at the date.
Add up the number of new shares that will be issued as a result.
Add up the proceeds that would be received on these conversions and issues (The reduction of debt is a 'proceed').
Divide the total proceeds by the current market price of the stock to determine the number of shares the proceeds can buyback.
Subtract the number bought-back from the new shares originally issued
Divide the net increase in shares by the starting # shares outstanding.
Earnings dilution EditEarnings dilution describes the reduction in amount earned per share in an investment due to an increase in the total number of shares. The calculation of earnings dilutions derives from this same process as control dilution. The net increase in shares (steps 1-5) is determined at the beginning of the reporting period, and added to the beginning number of shares outstanding. The net income for the period is divided by this increased number of shares. Notice that the conversion rates are determined by market values at the beginning, not the period end. The returns to be realized on the reinvestment of the proceeds are not part of this calculation.
Value dilution Edit
Value dilution describes the reduction in the current price of a stock due to the increase in the number of shares. This generally occurs when shares are issued in exchange for the purchase of a business, and incremental income from the new business must be at least the return on equity (ROE) of the old business. When the purchase price includes goodwill, this becomes a higher hurdle to clear.
The theoretical diluted price, i.e. the price after an increase in the number of shares, can be calculated as:
Theoretical Diluted Price =
(
O
×
O
P
)
+
(
N
×
I
P
)
O
+
N
{\frac {(O\times OP)+(N\times IP)}{O+N}}
Where:O = original number of shares
OP = Current share price
N = number of new shares to be issued
IP = issue price of new shares
For example, if there is a 3-for-10 issue, the current price is $0.50, the issue price $0.32, we haveO = 10, OP = $0.50, N = 3, IP = $0.32, and
TDP = ((10 × 0.50) + (3 × 0.32)) / (10 + 3) = $0.4585
Owners' share of the underlying business Edit
If the new shares are issued for proceeds at least equal to the pre-existing price of a share, then there is no negative dilution in the amount recoverable. The old owners just own a smaller piece of a bigger company. However, voting rights at stockholder meetings are decreased.But, if new shares are issued for proceeds below or equal to the pre-existing price of a share, then stock holders have the opportunity to maintain their current voting power without losing net worth.
Market value of the business Edit
Frequently the market value for shares will be higher than the book value. Investors will not receive full value unless the proceeds equal the market value. When this shortfall is triggered by the exercise of employee stock options, it is a measure of wage expense. When new shares are issued at full value, the excess of the market value over the book value is a kind of internalized capital gain for the investor. He is in the same position as if he sold the same % interest in the secondary market.Assuming that markets are efficient, the market price of a stock will reflect these evaluations, but with the increase in shareholder equity 'management' and prevalence of barter transactions involving equity, this assumption may be stretched.
Preferred share conversions are usually done on a dollar-for-dollar basis. $1,000 face value of preferreds will be exchanged for $1,000 worth of common shares (at market value). As the common shares increase in value, the preferreds will dilute them less (in terms of percent-ownership), and vice versa. In terms of value dilution, there will be none from the point of view of the shareholder. Since most shareholders are invested in the belief the stock price will increase, this is not a problem.
When the stock price declines because of some bad news, the company's next report will have to measure, not only the financial results of the bad news, but also the increase in the dilution percentage. This exacerbates the problem and increases the downward pressure on the stock, increasing dilution. Some financing vehicles are structured to augment this process by redefining the conversion factor as the stock price declines, thus leading to a "death spiral".
Impact of options and warrants dilution Edit
Options and warrants are converted at pre-defined rates. As the stock price increases, their value increases dollar-for-dollar. If the stock is valued at a stable price-to-earnings ratio (P/E) it can be predicted that the options' rate of increase in value will be 20 times (when P/E=20) the rate of increase in earnings. The calculation of "what percentage share of future earnings increases goes to the holders of options instead of shareholders?" is[2][unreliable source?]
(in-the-money options outstanding as % total) × (P/E ratio) = % future earnings accrue to option holders
For example, if the options outstanding equals 5% of the issued shares and the P/E=20, then 95% (= 5/105*20) of any increase in earnings goes, not to the shareholders, but to the options holders.Share dilution scams Edit
A share dilution scam happens when a company, typically traded in unregulated markets such as the OTC Bulletin Board and the Pink Sheets, repeatedly issues a massive number of shares into the market (using follow-on offerings) for no particular reason, considerably devaluing share prices until they become almost worthless, causing huge losses to shareholders.
Then, after share prices are at or near the minimum price a stock can trade and the share float has increased to an unsustainable level, those fraudulent companies tend to reverse split and continue repeating the same scheme
-
Nonetheless, only fair to warn you. Regular trade (app wont let me post screenshots).
Order Number VVM-3045
Account -* -**
Action Sell short
Symbol NE
Quantity 11,250,000
Order type Market
Duration Good Until Canceled
Trade date 05/15/2020 11:22 AM
Order status Open -
-
-
-
-
I say, since we ALL KNOW the company is going to stick it to us here ($750M SHELF) that we let it DROP. Why? So we can DOUBLE, TRIPLE, QUADRUPLE our positions, with the same amount of capital. All the elements are THERE, to push this down. WHY NOT get rich off of this?????
-
Just amazing to me. I feel like I am the only one here who is actually putting in the necessary steps, to research this stock, the sector, and overall issues which could affect it. You present IN YOUR FACE facts, and, the pumpers come in on top of you and KEEP ON PUMPING. F amazes me
-
Pascal<- Thanks for that article. I would like to highlight this comment, made by the author:
Todays deal is a positive development... unless a second Covid-19 wave hits the world
*2nd WAVE, friend:
https://www.kpbs.org/news/2020/jun/06/coronavirus-san-diego-live-updates-covid-19/
Now, I want to present FACT to oppose the observation that demand exceeds supply (it doesnt):
https://www.rigzone.com/news/oil_demand_expected_to_fall_115_percent-01-jun-2020-162248-article/
Seems the people holding are CONTENT with cajoling new Bagholders into believing this will skyrocket, when ALL THE FACTS point to the OPPOSITE direction.
CASE IN POINT:
$750,000,000 on the shelf
https://www.sec.gov/Archives/edgar/data/1458891/000119312520043132/d891440dposasr.htm
That is 2 BILLION new shares, in case you also SKIPPED your math classes in high school.
LMAO
-
Pascal<- Thanks for that article. I would like to highlight this comment, made by the author:
Todays deal is a positive development... unless a second Covid-19 wave hits the world
*2nd WAVE, friend:
https://www.kpbs.org/news/2020/jun/06/coronavirus-san-diego-live-updates-covid-19/
Now, I want to present FACT to oppose the observation that demand exceeds supply (it doesnt):
Seems the people holding are CONTENT with cajoling new Bagholders into believing this will skyrocket, when ALL THE FACTS point to the OPPOSITE direction.
CASE IN POINT:
$750,000,000 on the shelf
https://www.sec.gov/Archives/edgar/data/1458891/000119312520043132/d891440dposasr.htm
That is 2 BILLION new shares, in case you also SKIPPED your math classes in high school.
LMAO
-
Pascal<- Thanks for that article. I would like to highlight this comment, made by the author:
Today’s deal is a positive development and, unless a second Covid-19 wave hits the world
*2nd WAVE, friend:
https://www.kpbs.org/news/2020/jun/06/coronavirus-san-diego-live-updates-covid-19/
Now, I want to present FACT to oppose the observation that demand exceeds supply (it doesnt):
Seems the people holding are CONTENT with cajoling new Bagholders into believing this will skyrocket, when ALL THE FACTS point to the OPPOSITE direction.
CASE IN POINT:
$750,000,000 on the shelf
https://www.sec.gov/Archives/edgar/data/1458891/000119312520043132/d891440dposasr.htm
That is 2 BILLION new shares, in case you also SKIPPED your math classes in high school.
LMAO
-
Pascal<- Thanks for that article. I would like to highlight this comment, made by the author:
Today’s deal is a positive development and, unless a second Covid-19 wave hits the world
*2nd WAVE, friend:
https://www.kpbs.org/news/2020/jun/06/coronavirus-san-diego-live-updates-covid-19/
Now, I want to present FACT to oppose the observation that demand exceeds supply (it doesnt):
Seems the people holding are CONTENT with cajoling new Bagholders into believing this will skyrocket, when ALL THE FACTS point to the OPPOSITE direction.
-
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