If you take #3 to its logical conclusion, any company's shares, if sold all sold at once, would be worth far less than the price at the nexus of supply and dema

If you take #3 to its logical conclusion, any company's shares, if sold all sold at once, would be worth far less than the price at the nexus of supply and demand (the market price). Price is simply a function of supply and demand. It's not customary to use a fire sale price as the sole basis of a company's valuation. http://en.wikipedia.org/wiki/Valuation_(finance) http://en.wikipedia.org/wiki/Valuation_(finance)